The Malaysia Digital Economy Corporation (MDEC) has introduced two strategic grants—MDAG-AI and SmartMFG+—totalling RM2.9 million to drive digital innovation in artificial intelligence and manufacturing. The grants are open exclusively to Malaysia Digital status companies or applicants and support projects aligned with national AI and industrial transformation goals.
MALAYSIA, 10 JULY 2025 – The Malaysia Digital Economy Corporation (MDEC) today announced the launch of two new digital transformation grants valued at RM2.9 million, aimed at accelerating innovation in Malaysia’s artificial intelligence (AI) and manufacturing sectors.
The two grants—Malaysia Digital Acceleration Grant – Artificial Intelligence (MDAG-AI) and the SmartMFG+ Incentive Programme—are tailored to support Malaysia Digital (MD) or MSC Malaysia status companies, as well as businesses with pending MD status applications. These initiatives are designed to foster high-value innovation, create skilled jobs, and support export-ready solutions in line with Malaysia’s broader digital transformation agenda.
“These are timely and strategic enablers of national progress,” said Anuar Fariz Fadzil, Chief Executive Officer of MDEC. “MDAG-AI lays the foundation for Malaysia to lead in AI innovation, while SmartMFG+ supports digitalisation across the manufacturing value chain. Together, they represent a dual engine of digital growth.”
he MDAG-AI grant supports Malaysian digital companies in the commercialisation of AI products, aligned with the National AI Roadmap. The programme targets companies with solutions across foundational, enabling, and application AI layers, while also prioritising talent development, cross-sector AI applications, and knowledge transfer.
Successful applicants can receive up to 70% of project costs, capped at RM2 million per project, with a maximum duration of one year. The application window is open until 18 July 2025, and selected recipients will be announced at the Malaysia Digital Expo (MDX) in September 2025.