Looking Back: 2025 and Gazing Into: 2026
Looking Back: 2025
2025 marked a consequential year for Malaysia’s legal and regulatory landscape, characterised by significant legislative reforms, landmark judicial decisions and increased regulatory enforcement across multiple practice areas. From enhanced oversight of the digital economy and the introduction of a cross-border insolvency framework, to clarifications on restructuring mechanisms, competition enforcement and employment reforms, the year reflected a broader trend of strengthening regulatory frameworks and modernising existing legal regimes. Notable highlights include the following:
- significant regulatory developments in the technology, media and telecommunications (“TMT“) space signalling more robust oversight of data, digital platforms and emerging technologies;
- introduction of the Cross-Border Insolvency Bill 2025 and landmark court guidance on pre-packaged schemes of arrangement and liquidators’ powers, and priority payments;
- increased enforcement momentum, judicial endorsement and heightened sector-specific scrutiny for Competition Law;
- Federal Court rulings on the Securities Commission’s (SC) civil actions for insider trading disgorgement;
- increase in minimum wages and amendments to the Employees Provident Fund Act 1991 affecting foreign employees and
- Federal Court’s confirmation of the Asian International Arbitration Centre’s (“AIAC”) immunity from judicial review under the Construction Industry Payment and Adjudication Act 2012 (CIPAA).
Gazing into 2026
Looking ahead to 2026, Malaysia’s legal and regulatory landscape is expected to continue evolving, with further legislative developments, regulatory initiatives and judicial guidance anticipated across a range of practice areas. Some of the key developments that organisations should monitor include:
- TMT/Data Protection – A Further Wave of Regulatory Developments for the TMT Space
- Competition Law – Key Competition Law Risks, Enforcement Trends and Compliance Priorities
- Dispute Resolution & Litigation – The Arbitration (Amendment) Act 2024 and the AIAC Arbitration Rules 2026 Come into Force
- General – Consumer Protection Act: Lemon Law Reforms
- Employment & Benefits – Deferred Expansion of Employment Insurance Framework; Introduction of the Gig Workers Act 2025; Ministry of Human Resources Set to Table Four Major Labour Law Reforms
- Restructuring & Insolvency – Cross-Border Insolvency Framework
- Corporate – Proposed Amendments to the Stamp Act 1949
- Projects & Infrastructure, Energy & Natural Resources – Government Procurement Bill: New Procurement Framework Expected to Take Effect in 2026
Full Report
Click on the link below for the full report which provides summaries of the key legal developments related to the above areas.
Please note that whilst the information in this Update is correct to the best of our knowledge and belief at the time of writing, it is only intended to provide a general guide to the subject matter and should not be treated as a substitute for specific professional advice
