MALAYSIA SMART CITY OUTLOOK 2021-2022

Smart Community in Malaysia At A Glance Malaysians are already embracing technology, albeit much of it at a personal consump�on level. According to the Department of Sta�s�cs Malaysia 2018, 81.2% of individuals in the country use the internet compared to a global average of 73.6% across 82 repor�ng countries. In IMD’s World Digital Compe��veness 2019 ranking which studies 51 criteria across 63 countries, Malaysia ranked 26th. This indicates that Malaysia outperforms the global average in terms of internet usage and digital compe��veness. As far as the Smart City Framework goes, one important Where We Are Now

aspect is the drive towards “enhancing the quality of human capital to meet future demands and overall environment in smart city”. This translates to improving standards of educa�on, providing upskilling and reskilling opportuni�es through training programmes and pu�ng high technology on the agenda of higher educa�on. The Framework points out that the percentage of skilled and talented human capital in Malaysia is rela�vely low at 27% compared to advanced countries, alluding to the fact that the road to smart communi�es is a long one and that change must come sooner rather than later.

The Malaysian government has laid out priori�es for the development of smart community as illustrated in Figure 4-2, which integrate current thinking around the development of smart ci�zens from the perspec�ves of human capital, gender equality, social inclusion and community empowerment.

Priorities for Development

• Train and promote skilled manpower and talented human capital • Improve harmonious public interac�ons and community empowerment • Promote gender-friendly environment and inclusivity of vulnerable groups • Promote adaptability to emerging technologies and improve technology and digital literacy

Figure 4-2: Priority Areas of Development for Smart Community in Malaysia

A report on the Future of Talent in Malaysia 2035 Human Resources Development Fund (HRDF) and Charted Ins�tute of Personnel and Development, (CIPD); 2019 focuses on a “holis�c approach” to human capital development, whilst also revealing a level of “unpreparedness for Industry 4.0; the inadequacies of the state educa�on system and acute skills shortages across the economy.” The report points to a number of human capital fundamentals which Malaysia could focus on, including skills investment, especially in technology as well as educa�on reform. The la�er is proposed in Strategy 3 of the Smart People component of Malaysia Smart City Framework 2019, detailing planned ini�a�ves to review subjects such as science, technology, engineering and mathema�cs (STEM), promo�ng innova�on, ICT and strengthening technical and voca�onal educa�on and training in the educa�on system (TVET).

Developing a new and more relevant policy in implemen�ng TVET’s agenda in line with industry needs is part of the Ministry of Human Resources’ 2019 plan. The budget of RM5.9 billion alloca�on via the 2020 Budget to place TVET in the mainstream in the country, is set to the get the country ready to meet the demands of IR 4.0. The Educa�on Ministry’s Educa�on Blueprint (Higher Educa�on) has indicated that there will be an increase in demand for an addi�onal 1.3 million Technical and Voca�onal Educa�on and Training (TVET) workers by 2020 in the 12 Na�onal Key Economic Areas iden�fied under the government’s Economic Transforma�on Programme. The scope for TVET development to fulfil the country’s aspira�on of developing its human capital and encouraging industry players to support this goal is promising, as public-private partnerships are seen to be capable of rising to the challenge of crea�ng smart communi�es for the country’s socio-economic growth.

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