I'm a Chinese Malaysian, and I feel the need to highlight the other side of the coin—the
risks multinational corporations (MNCs) face when setting up data centers in Malaysia.
Despite being elected on the promise of reform, the government's actual performance has been anything but. The press is still frequently suppressed; social media platforms are required to obtain a yearly license or risk being fined or shut down. There was even a time when the MCMC—the country’s communications regulatory body—forced all ISPs to route traffic through their DNS instead of allowing users to freely use Google or Cloudflare DNS, enabling government censorship.
On that last point, the MCMC backed down after massive public outcry, but the government's authoritarian tendencies remain palpable.
Speaking of authoritarianism, the current Prime Minister, Anwar Ibrahim, has proudly likened himself to Southeast Asia’s version of Erdogan. And indeed, he seems to be increasingly authoritarian just like Erdogan, curbing free speech while advancing an Islamist agenda. Under his leadership, the country is becoming increasingly intolerant, particularly as the majority Malay Muslims frequently target minorities—sometimes on a near-weekly basis. You might be surprised to learn that socks printed with the word "Allah" resulted in the store owner being charged and penalized in court. Meanwhile, ongoing debates about banning convenience stores from selling liquor in Muslim-majority areas never seem to die down. Non-Muslims remain uncertain about when they might inadvertently face repercussions for perceived "mistakes"—whether intentional or not.
Additionally, Anwar's staunch support for Hamas may not sit well with the current U.S. administration. Whether this will lead to investors pulling out, or somehow trigger the US sanction, remains to be seen.