LocationsMalaysia explores AI and digital innovation for a more inclusive, resilient social protect system
April 15, 2025
From left to right: Mr. Fabian Bigar, Secretary General of Ministry of Digital; Ybhg. Datuk Seri Sollehuddin Alyubi bin Zakaria, Director General, Implentation Coordination Unit, Prime Minister's Department; Ms. Kanni Wignaraja, UN Assistant Secretary-General and UNDP Regional Director for APAC; Ms. Danielle Heinecke, Australian High Commissioner to Malaysia; Mr. Edward Vrkić, Resident Representative to UNDP in Malaysia, Singapore and Brunei Darussalam.
PUTRAJAYA, 15 April 2025 - In a rapidly evolving technological landscape, Malaysia is taking steps towards integrating Artificial Intelligence (AI) and digital innovation into its social protection system to build resilience, improve efficiency, and ensure no one is left behind.
This morning, policymakers, researchers and digital innovation experts gathered at the Putrajaya Marriot Hotel for the "Inclusive Future: Harnessing AI and Digital Innovation for Resilient Protection" policy dialogue, co-organised by the United Nations Development Programme (UNDP) and the Implementation Coordination Unit, Prime Minister's Department (ICU JPM). The Australian High Comission and the Khazanah Research Insitute also supported event.
The dialogue examined how AI and digital tools can better identify needs, streamline service delivery, and address structural inequalities in Malaysia's social protection ecosystem. While Malaysia's system - built on pillars of social assistance, social insurance, and labour market interventions - is robust, it must evolve to meet the challenges of an ageing population, changing labour markets, and widening income inequality.
"UNDP is already using diverse data - from surveys to geospatial information - to better understand localised and group-specific vulnerabilities and social protection needs. AI can significantly enhance this capability by analysing vast datasets, including georeferenced data, to pinpoint poverty and service gaps with unprecedented precision. We have done this most recently in the Philippines and Cambodia," said Kanni Wignaraja, UN Assistant Secretary-General and UNDP Regional Director for Asia and the Pacific.
"This enables more effective micro-targeting - who exactly should be covered, when and for how long - and reduces redundancies, building greater public trust through efficient resource allocation," Ms. Wignaraja added.
Crucially, AI can improve the effectiveness of social protection, particularly in times of crisis. Targeted and rapid assistance, facilitated by AI-driven data analysis, can mitigate the impact of climate disasters and economic shocks, of all which societies are increasingly more vulnerable. AI can also enable the integration of different forms of social protection, such as combining cash transfers with insurance, potentially extending insurance access to vulnerable populations traditionally excluded from the market. The power of digitalisation, amplified by AI, is key to bridging the gap between service providers and beneficiaries.
"Malaysia is at a critical juncture in modernising its social protection landscape. As the government's central coordinating agency, ICU JPM is fully committed to advancing reforms that ensure our systems are resilient, people-centred, and ready for the future. In embracing AI, our goal is to build a system that integrates data, dismantle silos, and delivers public services that truly reflect the evolving needs of the rakyat," said Datuk Seri Sollehuddin Alyubi Zakaria, Director General, Implementation Coordination Unit, Prime Minister's Department.
H.E. Ms. Danielle Heinecke, Australian High Commissioner to Malaysia, added, "Australia is proud to support this policy dialogue today, sharing lessons — both from our successes and missteps — so we can support Malaysia’s journey in a way that puts people first." Ms. Heinecke provided the opening remarks at the dialogue, sharing key initiatives undertaken by the Australian Government in leveraging advancements in AI and technology to enhance the nation's social protection system.
The event featured distinguished speakers, including Pia Andrews (UNDP Bangkok Regional Hub), Dr. Rachel Gong (Khazanah Research Institute), Sarayu Natarajan (Aapti Institute, India), and YBrs. Tuan Fabian Bigar (Secretary General, Ministry of Digital). They shared insights on using AI to deliver people-centred services, balance innovation with ethics, and ensure inclusive access to digital opportunities.
This policy dialogue marks an essential step toward developing a data-driven and future-ready social protection framework for Malaysia. As the nation sets its sights on becoming a regional Artificial Intelligence hub by 2030, this conversation signals a bold commitment to harnessing cutting-edge technologies for the public good.
