The Malaysian government is exploring the use of artificial intelligence (AI) and blockchain technologies to enhance real-time monitoring of international Halal certification bodies.

The Use of AI and blockchain to streamline government processes

Minister in the Prime Minister's Department of Religious Affairs, Datuk Mohd Na’im Mokhtar, explained that these technologies would be utilized to ensure that Halal certificates issued by foreign agencies comply with the standards set by the Malaysian Islamic Development Department (JAKIM).

He explained with the help of AI the agency to automate of the whole process of identifying certification inconsistencies and issuing warnings to vendors who does not comply by the government's standards.

Meanwhile, blockchain would ensure the transparency of every step of the halal supply chain by making sure that everything is recorded and verified in an immutable manner, enhancing monitoring efficiency and integrity.

Na’im made these remarks in response to a supplementary question from Datuk Mumtaz Md Nawi, who asked whether the government would consider leveraging cutting-edge technology to improve Halal certification oversight.

Furthermore, Na’im shared that JAKIM is also exploring the potential use of AI in Islamic teachings and laws.

“The adoption of AI for determining Islamic rulings (hukum) will also be considered. This initiative will ensure that the technology is used responsibly, with careful attention to ensuring that the data it generates is Shariah-compliant.”

Malaysia's dream of competing in the semiconductor race

Malaysia recently also sealed a $250 million investment deal with a British chip company which would grant the country 7 years of access into the Arm's compute subsystems and related intellectual property.

The Arm has also promised to train 10,000 engineers in Malaysia, a move expected to accelerate the country's plan to develop and manufacture its own AI chips.

This deal is just one part of Malaysia's wider goal of establishing a robust chip design ecosystem that would enable Malaysia to have a slice of the pie in the every competitive semiconductor field instead of replying on just being a country that is well known for assembling chips for global players.

Ultimately, Malaysia hopes to become a global AI supplier themselves rather than reacting to geopolitical tensions between the U.S and China. The Malaysian government has set an ambitious goal of producing Malaysian-designed chips within the next five years, rather than the previously projected 10-year timeline.

Malaysia's goal to compete in a field that has been long dominated by giant countries such as U.S, Taiwan, and South Korea is nothing short of a tough uphill battle. But the government expects the initiative to drive $30 billion in economic impact through innovation, job creation, and export growth.

Malaysia's pivot comes at a time when nations worldwide are racing to secure domestic chip manufacturing amidst supply chain disruptions and increasing demand for AI-powered hardware. Countries like the U.S, Japan, and China have already launched multi-billion-dollar semiconductor initiatives.

While Malaysia has started playing catchup late, but its strategy of leveraging on Arm's existing IP instead of building it from scratch might just allow it to catch up with the rest of the pack soon.

Malaysia aims to achieve semiconductor exports of $270 billion by 2030, positioning itself as an emerging force in the AI-driven chip industry. The success of this ambitious investment will hinge on how quickly the country can transform its new intellectual property into market-ready, viable products.