KUALA LUMPUR (Dec 14): The Malaysian Institute of Economic Research (MIER) said Malaysia should take a more active role in semiconductor chip exports, aligning with global trends and potential investment outflows from China.
During the recent National Economic Outlook Conference hosted by MIER, the institute pointed out that Malaysia has the opportunity to enhance its capacity and become a hub for the production and export of chips, given its longstanding presence in the global semiconductor industry.
MIER also highlighted the need to improve the food supply chain network due to Malaysia’s reliance on food imports.
“As far as digitisation is concerned, the outcome of the deliberations highlighted that it is critical for SMEs to be future-proofed to succeed in this area.
“The SMEs need help because they are competing in an industry with huge telecommunications companies. Malaysia has to build an integrated ecosystem and improve country-to-country connectivity,” MIER said in a statement in conjunction with the conference that was released on Thursday.
Recognising artificial intelligence (AI) as a game-changing trend, MIER proposed a cloud-first policy, emphasising data transparency and governance, and proactive consideration of AI applications in healthcare and environmental sectors.
To reset the Malaysian economy, MIER recommended that the government pursues AI aggressively, with emphasis on the creation of agile frameworks that go beyond conventional policies.
“The development of the economy depends upon how successful the government is in creating a safe and secure environment for all citizens. It cannot be overemphasised that social protection must be framed not just as a policy but as a comprehensive framework,” it added.
MIER also said that there is an urgent need for the government to introduce a life cycle-based social protection system, providing adequate coverage from “womb to tomb.”
Thus, it suggested transitioning from social assistance to social insurance, creating a three-layered ecosystem involving private institutions, social insurance and social assistance.
Edited By Lam Jian Wyn