Malaysia · Law
Malaysia AI Governance Bill
Malaysia's proposed AI Governance Bill, its first horizontal AI law. What the Ministry of Digital says it covers, its risk-based approach and the timeline.
The AI Governance Bill is Malaysia's proposed first horizontal law dedicated to AI governance. The Ministry of Digital says it will set common principles that complement existing sector laws, take a risk-based approach that recognises risk can arise anywhere in an AI system's lifecycle, assign duties according to each party's role and level of control, and encourage measures such as incident reporting, safeguards and AI sandboxes. It will not directly regulate AI output. The Ministry ran engagement and a public consultation from July 2026, and on 10 September 2026 the Digital Minister said the draft was complete and he expected it to be tabled in Parliament by the first quarter of 2027 at the latest.
What it is
The AI Governance Bill is a proposed Malaysian law. The Ministry of Digital describes it as Malaysia’s first horizontal legal framework specifically dedicated to AI governance, meaning it would apply across sectors rather than to one industry.
The Ministry has published the direction of the bill but not its text. In its media release of 10 July 2026 it said the bill will set common principles that complement existing laws, take a risk-based approach that recognises AI risk can arise at any stage of a system’s lifecycle, assign governance duties according to each party’s role and level of control, and encourage pre-emptive measures including incident reporting systems, safeguards and AI sandboxes.
On 24 June 2026 the Digital Minister, Gobind Singh Deo, told Parliament that the bill will not directly regulate AI output. Illegal content will continue to be handled under existing acts.
Who it applies to
The final scope is not yet public. The Ministry’s description of duties assigned by role and level of control suggests obligations will differ between those who develop AI, those who supply it and those who use it, as in other risk-based AI laws.
What it requires
Nothing yet. Until the bill passes, the binding rules for AI in Malaysia are existing laws, most directly the Personal Data Protection Act 2010 as explained in the Commissioner’s ADMP Guideline, alongside the voluntary National Guidelines on AI Governance and Ethics.
The direction the Ministry has set points to work organisations can start now. A risk-based law needs an inventory of the AI an organisation runs and a risk rating for each system. Duties by role need clarity on which systems an organisation builds and which it buys. Incident reporting needs a way to record AI incidents and decide which to report. The AI system register guide and the AI incident guide cover that groundwork.
Key dates
- 24 June 2026. The Digital Minister told Parliament the bill will not directly regulate AI output.
- 10 July 2026. The Ministry of Digital, through the National AI Office, began engagement sessions, with a nationwide public consultation through the Unified Public Consultation portal.
- 10 September 2026. The Minister said the draft had been completed after workshops and engagement and was being submitted to Cabinet, with tabling expected that quarter or by the first quarter of 2027 at the latest.
How it relates to other frameworks
The bill would join a small group of horizontal AI laws, including the EU AI Act and South Korea’s AI Basic Act. The Minister has said Malaysia approaches AI governance through standards, regulations and laws, with MY-AI Standards being developed with SIRIM Berhad. Organisations already aligned with ISO/IEC 42001 or the NIST AI RMF will have much of the structure a risk-based law is likely to expect.
A note on this page
This is Aicura’s reading of public statements about a bill that has not been published or passed. It is not legal advice. Follow the Ministry of Digital’s announcements for the bill itself, and take advice on how it will apply to your organisation once it is law.
Last reviewed 18 October 2026. This page explains the framework to support your governance work. It is not legal advice; read the official source for the authoritative text.
Questions
Does Malaysia have an AI law?
Not yet. The AI Governance Bill is drafted but has not been tabled. The Digital Minister said on 10 September 2026 that he expected it to go to Parliament that quarter or, failing that, in the first quarter of 2027.
Will the AI Governance Bill regulate AI-generated content?
The Digital Minister told Parliament on 24 June 2026 that the bill will not directly regulate AI output. Illegal content will continue to be dealt with under existing laws and regulatory frameworks.
What approach does the bill take?
The Ministry of Digital describes it as risk-based, with common principles that complement existing laws, duties assigned by each party's role and level of control, and measures such as incident reporting systems, safeguards and AI sandboxes. The detailed text has not been published.
What can organisations do before the bill passes?
Build the foundations any risk-based AI law asks for. That means an inventory of AI systems with owners, risk assessments, a way to record and report AI incidents, and governance aligned with the National Guidelines on AI Governance and Ethics and the PDPA.
Start with the AI you run
Every framework begins with knowing which AI systems and agents you have. The AI register is free to start.
