Regional Round-Up: Malaysia Q4 2025 (Year in Review Edition)

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“).