{
  "id": 3677000,
  "title": "Anwar: AI-driven growth creates jobs, but not equal govt revenue",
  "url": "https://urgent.news/2026/08/27/anwar-ai-driven-growth-creates-jobs-but-not-equal-govt-revenue",
  "topic": "ai",
  "section": "AI",
  "published": "2026-08-27T05:21:34.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/news/nation/2026/08/1519797/anwar-ai-driven-growth-creates-jobs-not-equal-govt-revenue"
  },
  "original_language": "en",
  "account": "Malaysia's rapid growth in artificial intelligence, data centres, and the digital economy has not led to a proportional increase in government revenue, Prime Minister Datuk Seri Anwar Ibrahim stated today. Despite these advancements, creating jobs and enhancing the nation's technological prowess, Anwar emphasized that a 6 percent economic growth in the second quarter does not automatically result in substantially more government funds to spend. Many question why revenue hasn't risen alongside GDP, but Anwar clarified that strong growth in these sectors does not generate direct income for the country. Instead, it fosters development opportunities, jobs, and advanced technological capabilities, unlike opening a factory or expanding agricultural output, which yields direct returns. Consequently, the revenue increase is not commensurate with the recorded growth, according to Anwar. During the opening of the 2026 National Innovation and Commercialisation Expo, Anwar, who serves as both Prime Minister and Finance Minister, warned against pursuing excessive debt or expecting unearned income. He stressed the need to be cautious with government spending, as funds primarily originate from taxes, and Malaysia cannot afford to increase taxes. Anwar proposed increasing research funding under the 2027 Budget, to be presented in early October, but cautioned that any additional allocations must be carefully considered in light of the government's fiscal constraints. He urged government agencies, particularly those under the Science, Technology, and Innovation Ministry, to discard outdated bureaucratic practices that could impede Malaysia's progress in rapidly evolving fields like AI and quantum computing. Anwar highlighted the rapid establishment of AI faculties at several universities within three months as proof that institutions can swiftly adapt when there is sufficient urgency. He called for closer collaboration between universities and industry to address the shortage of science and engineering graduates, while ensuring that technological advancement remains grounded in shared prosperity, national values, and humanity.",
  "summary": "KUALA LUMPUR: Malaysia’s rapid growth in artificial intelligence (AI), data centres and the digital economy has not translated into a corresponding increase in government revenue, despite creating jobs and strengthening the country’s technological capabilities, Prime Minister Datuk Seri Anwar Ibrahim said today.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}