KUALA LUMPUR: While global debates continue about whether artificial intelligence (AI) will take jobs, create jobs, or fail to deliver at all, Georg Chmiel (pic), founder of Chmiel Global Advisory and Board Member of the World Digital Chamber, believes Malaysia must take a long-term view.
“AI is overrated today — but massively underrated for the decades ahead,” said Chmiel.
“As with computers and the internet, the real productivity gains only come when companies, and ultimately countries, rethink their processes, policies, and workforce skills. Malaysia must prepare now if it wants to capture AI’s full economic value.”
Malaysia has demonstrated a strong desire to take the lead in the adoption of AI. It is emphasised as a driver of national growth in the government’s MyDIGITAL Blueprint and Budget 2025 allocations. But challenges remain.
Over 70% of businesses report interest in implementing AI, according to a Malaysia SME survey, but employee engagement remains low. Adoption without proper governance risks exacerbating issues around bias, data privacy, and cybersecurity, according to the Khazanah Research Institute.
Furthermore, TD SYNNEX Malaysia cautions that bridging the AI skills gap is essential to the country’s competitiveness, particularly given the ongoing shortage of AI talent.
“Malaysia has the right idea, but talent is currently the largest obstacle. AI adoption risks becoming little more than a catchphrase with no measurable productivity gains unless there is significant workforce upskilling, Chmiel said.
He added that Malaysia must avoid being caught in the short-term hype.
“The TD SYNNEX report on the AI skills gap makes it clear: the country must double down on talent development, reskilling, and preparing its SMEs. Otherwise, we risk importing solutions without building the human capital to make them work,” he said.
Rather than mass job losses, Chmiel predicts Malaysia will see a shift in the nature of work and a net gain in the workforce with roles likely to shrink (repetitive customer service, routine coding, low-level content writing and roles likely to grow (AI governance, cybersecurity, compliance, product design, and human-in-the-loop services).
“The big differentiator will be those who learn to work with AI tools. AI won’t take your job — but someone in Malaysia with AI skills eventually will,” Chmiel emphasised.
Chmiel stressed that Malaysia has a crucial chance to move from ambition to execution as Budget 2026 approaches.
“Budget 2025 set the tone, but Budget 2026 needs to deliver quantifiable outcomes,“ he said.
“This means focusing on SME competitiveness, workforce transformation, and a strong governance structure to serve as the foundation of Malaysia’s AI future.”
Chmiel outlined six key priorities for Budget 2026:
> National AI Workforce Transformation Fund – retrain 200,000+ Malaysians in AI-related skills over three years, integrating AI training into TVET, universities, and professional certifications.
> SME Productivity & Export Enablement – provide co-funding for SMEs in high-impact industries such as manufacturing, agriculture, logistics, tourism, and healthcare, with grants tied to clear ROI and export growth.
> AI Governance & Legal Framework – support Malaysia’s first AI Bill, expected to be tabled by mid-2026, with allocations for a National AI Office to enforce transparency, data protection, and ethical AI use.
> Regional AI Hubs – establish Centres of Excellence in Penang, Johor, and Kuala Lumpur to drive industry-specific AI adoption through public–private partnerships.
> Performance-Linked Incentives – tie tax incentives and grants to measurable productivity gains, export growth, and job creation.
> Central AI Policy Coordination – align skills development, SME support, governance, and national monitoring through a central coordinating body.
Chmiel concluded saying: “If Malaysia acts now, it can get ahead of other economies in AI readiness. But waiting too long is not an option — it poses more than just financial risk; we could also miss out on the next wave of global productivity.”