Malaysia plans to table AI governance bill in parliament in early 2027

Malaysia plans to table its proposed Artificial Intelligence (AI) Governance Bill in Parliament in early 2027, establishing a legal framework for managing risks and defining accountability among organisations involved in developing and deploying AI systems.

Digital Minister Gobind Singh Deo said the Bill had been completed and would be submitted to the Cabinet in the near future before being brought to the Dewan Rakyat.

Speaking during a parliamentary question-and-answer session on October 29, Gobind said the proposed legislation would require parties involved in developing, providing or using AI systems to take appropriate responsibility for identifying, assessing and managing potential risks.

The framework will address AI risk management, accountability across the AI development and deployment process, and mechanisms for reporting and managing incidents.

Gobind said responsibility would be determined according to each party’s role, level of control and the degree of risk associated with an AI system throughout its lifecycle.

The announcement followed a question from Bagan Serai MP Idris Ahmad, who sought an update on the Bill’s development and asked about existing legal protections for victims of fraud, identity theft, content manipulation and the misuse of AI.

While the proposed legislation is being finalised, the government will continue to address AI-related threats through existing laws, including the Penal Code, Communications and Multimedia Act 1998, Online Safety Act 2025 and Cybersecurity Act 2024.

The government is also working to strengthen existing legislation, including the Evidence Act and Criminal Procedure Code, to improve the handling of technology-related cases, particularly the prosecution of offences and the presentation of evidence in court.

Gobind said cooperation between relevant ministries and agencies was also being strengthened through AI Malaysia Berhad, which brings together experts to advise on existing regulatory frameworks and recommend improvements in response to emerging technological challenges.

At the regional level, Malaysia is working with other ASEAN member states to develop a more coordinated approach to AI standards and regulation, with the aim of improving consistency across national regulatory frameworks.

The proposed legislation represents a further step in Malaysia’s efforts to establish a formal governance framework for AI as adoption expands across industries and public services. Its eventual scope and implementation requirements will become clearer as the Bill progresses through the legislative process.