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JOHOR is set to host 60 per cent of Malaysia’s total data centre capacity by 2030, positioning the southern state as Southeast Asia’s foremost digital hub, according to the Ministry of Investment, Trade and Industry (MITI).
“The JS-SEZ has sped up our pace, scaled up our talent attraction initiative and strengthened our supply chain connections within ASEAN and beyond. Johor is no longer just keeping up; it is setting the pace for digital ambition in the region,” said Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz during his keynote address at the signing ceremony for the DayOne Syndicated Financing and Corporate Renewable Energy Supply Scheme.
The Johor-Singapore Special Economic Zone (JS-SEZ) is expected to accelerate this transformation. DayOne Data Centres has secured RM15 billion equivalent in multi-currency financing to support its major development in the JS-SEZ.
This includes a RM7.5 billion Murabahah Term Financing facility and a US\$1.7 billion Offshore Term Loan facility.
The transaction — among the largest data centre financings in Asia — was coordinated by CIMB, Crédit Agricole, DBS, Maybank, OCBC, Standard Chartered and UOB. Tengku Zafrul was present to witness the signing of the syndication.
In the first quarter of 2025, Johor attracted over RM30 billion in investment, with nearly 90 per cent allocated to digital infrastructure.
“This is tangible proof that investors are clear about our policies. Besides, we are attracting the right capital and our vision for Johor as Malaysia’s gateway is fast becoming a reality,” Tengku Zafrul said.
As ASEAN Chair in 2025, Malaysia is also playing a leading role in advancing the ASEAN Digital Economy Framework Agreement (DEFA).
“Malaysia’s digital economy is expected to contribute over 25 per cent of the national gross domestic product (GDP) this year. By 2030, digital investments will catalyse nearly RM400 billion in cumulative GDP, which generates the resources to support everything from AI research to e-health, as well as improved e-services, digital banking and e-commerce,” he said.
In terms of sustainability, DayOne has also secured up to 500 megawatts (MW) of renewable energy through Tenaga Nasional Bhd (TNB) under the Corporate Renewable Energy Supply Scheme (CRESS).
Tengku Zafrul said, “CRESS allows hyperscale data centres and big energy users to buy RE directly from producers, such as TNB.”
He added that CRESS and other national frameworks are aligning Malaysia’s digital growth with environmental stewardship: “CRESS, our national guidelines, our NIMP-driven renewable targets, and transparent reporting standards are shaping Malaysia into not just a hub for digital investment but also the benchmark for responsible growth in ASEAN.” - June 11, 2025
