Selangor is intensifying its focus on infrastructure development to bolster key industries such as data centres and logistics, aligning with its commitment to driving investment and economic growth. Addressing industry-specific needs, the state government aims to ensure its infrastructure supports the technological and operational demands of these high-growth sectors.
The state has identified the unique requirements of industries like data centres, which necessitate robust electricity backup systems, consistent water supply, and high-capacity fibre optic connectivity. These factors distinguish data centres from other sectors like logistics, which leverage Selangor’s strategic geographic advantages. Logistics, for example, benefits from proximity to the Kuala Lumpur International Airport in Sepang and Port Klang in Klang, enhancing its position as a hub for goods movement and trade.
Selangor has adopted a proactive approach to infrastructure enhancements to attract and sustain investment. Collaboration with local authorities, such as the Shah Alam City Council, enables engagement with businesses and investors to implement necessary upgrades. This approach aims to maintain Selangor’s reputation as a premier investment destination for industries like data centres and logistics.
In response to queries about Selangor’s strategy for attracting investments, the state government clarified that while it does not enforce specific criteria for prospective investors, compliance with technical agency regulations is mandatory. Emphasis is placed on attracting high-value, high-growth investments that offer competitive wages, fostering sustainable economic progress.
The logistics sector has been a consistent focus of Selangor’s investment strategy. The state leverages its advantageous location and infrastructure to position itself as a logistics hub, supported by targeted infrastructure development to meet industry demands. These efforts are part of a broader initiative to attract international and domestic investments in strategic industries, ensuring long-term economic resilience.
Selangor’s data centre sector reflects a growing global demand for digital infrastructure. The state is actively aligning its investment priorities to support the rising need for secure, scalable, and sustainable data solutions. Enhanced connectivity, reliable power sources, and advanced technological infrastructure are critical enablers for this sector, which is integral to the region’s broader digital economy objectives.
The state also highlighted the economic impact of flagship events such as the Selangor International Business Summit (SIBS) and the Selangor Aviation Show (SAS). Both events have successfully driven significant business transactions, underscoring Selangor’s ability to attract global and regional attention to its industrial and technological capabilities. Since its inception, SIBS has facilitated trade deals worth RM22.8 billion, while SAS has contributed RM6.23 billion in potential transactions.
Selangor’s integrated approach to supporting major industries, particularly those that underpin technological advancements and innovation, reflects its commitment to being a leading economic powerhouse. By prioritising infrastructure enhancements and fostering a business-friendly environment, the state aims to reinforce its position as a competitive investment destination in Southeast Asia.
As demand for advanced logistics networks and data infrastructure accelerates, Selangor’s strategic focus on these sectors is poised to contribute to its long-term economic sustainability.
OpenGov Asia reported earlier that Selangor’s 2025 state budget will allocate resources to develop infrastructure and support training programmes to cultivate a workforce equipped with AI skills, ensuring readiness for an increasingly technology-driven landscape.
Selangor’s 2025 budget emphasises technology and sustainable development, aligning with its strategic goal of nurturing an innovation-friendly ecosystem while prioritizing environmental sustainability. Spanning infrastructure, transportation, workforce training, and tourism, the budget integrates technology-focused solutions across various sectors, strengthening the state’s reputation as forward-thinking and technologically advanced.
Reference : https://opengovasia.com/2024/11/20/malaysia-selangor-powers-data-and-logistics-growth/