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Malaysia data-centre growth forecast at 33% CAGR despite reset from tighter rules
S&P Global Ratings projected Malaysia’s data-centre market to grow at a 33% compound annual rate from 2025 to 2030 on Friday, citing domestic demand and spillover from land- and utility-constrained Singapore. The rating agency also said the sector had entered a reset phase after rapid expansion strained power and water systems.
S&P said AI-related global data-centre demand is expected to grow strongly through 2030, with inference workloads forecast to expand faster than training and non-AI workloads. It also flagged rising off-balance-sheet lease obligations among hyperscalers, led by Microsoft, Meta, Oracle and Amazon, as a financing risk behind the infrastructure boom.
The forecast keeps Malaysia in the centre of ASEAN’s AI-infrastructure build-out, but it also underscores that grid, water and financing constraints are becoming binding limits rather than secondary issues.
Track Malaysia’s state and federal approvals for Johor, Cyberjaya and Kuala Lumpur data-centre projects, and whether new power or water rules change the economics of projects due before 2030.
China proposes export curbs on 40 technologies spanning AI, chips and solar
China said on Friday it plans to restrict or ban exports of 40 technologies covering artificial intelligence, semiconductors and solar power. The Ministry of Commerce and Ministry of Science and Technology published draft updates to China’s catalogue of technologies subject to export bans or restrictions.
The proposal includes 23 AI technologies, including advanced large models and agents, and would prohibit exports of core AI model technologies trained on sensitive national data. It also covers chip-design technologies and solar manufacturing know-how, including polysilicon-related processes.
The proposal marks a broader Chinese counterweight to US-led technology controls and could fragment access to AI models, chip design and clean-energy manufacturing know-how.
Watch the consultation process, final catalogue wording and whether named AI, chip or solar firms seek licences or restructure offshore technology transfers.
Zetrix faces RM2.16 billion sukuk obligations if covenant breach is not cured by October 22
Zetrix AI said it could face RM2.16 billion in sukuk payment obligations if it fails to resolve a covenant breach by October 22. The breach arose after forced share sales cut managing director Wong Thean Soon’s combined direct and indirect holding to 1.895%, below the requirement that he remain the company’s largest shareholder.
The company said the amount comprises RM2 billion of principal and RM164.5 million of future coupon payments. Zetrix shares fell 15.38% to 5.5 sen on Friday after touching five sen intraday, and the company is also under police investigation over unremitted Road Transport Department collections.
The case is a major test of governance, disclosure and creditor protection in Malaysia’s sukuk market, especially for digital-services issuers with public-sector collection roles.
The immediate trigger is October 22, when Zetrix must cure the breach or seek sukuk-holder approval for a waiver or further instructions.
Malaysia’s growth beats forecasts as AI-related exports support economy
Malaysia’s latest growth reading beat expectations, with semiconductor exports and steady domestic spending supporting the economy. The report said the economy cooled in the latest reading but still exceeded forecasts as AI-chip demand continued to lift exports.
The article cited a World Bank revision published on October 6 that said more than 70% of Malaysia’s export growth in early 2026 came from AI-related products. That concentration makes the growth beat positive but also exposes Malaysia to any reversal in the global AI hardware cycle.
Malaysia’s macro performance is increasingly tied to the AI supply chain, from chips to data-centre investment, making external tech demand a key domestic-growth variable.
Watch official GDP, export and electronics shipment data for confirmation of how much growth remains AI-linked in the fourth quarter.
Global agenda on October 16 dominated by pressures across North America, Europe, Middle East, Asia-Pacific and Latin America
A global news brief published on October 16 said the international agenda was dominated by developments across North America, Europe, the Middle East, Africa, Asia-Pacific and Latin America. It highlighted political tensions, economic pressure and social unrest in Latin America as part of the broader global risk picture.
The brief is less specific than primary market or government sources, but it captures the breadth of simultaneous political and economic stress points. For cross-regional readers, the relevant point is that global risk is dispersed rather than concentrated in a single theatre.
Distributed political and economic stress can raise volatility across commodities, currencies and supply chains, especially for open economies dependent on external demand.
Watch whether country-specific developments in Latin America translate into commodity, sovereign-spread or currency moves over the next trading week.
Malaysia says data-centre investors must bear necessary grid-upgrade costs
Investment, Trade and Industry Minister Johari Abdul Ghani said data-centre investors should bear necessary grid-upgrade costs as part of project expenditure. He said Tenaga Nasional should advise on required upgrades, and data-centre electricity needs should be treated separately from household and industrial demand.
Johari said data centres should not receive subsidies and that where generation uses gas, market gas prices should be reflected in the cost of supply. The comments come amid rapid AI-driven data-centre investment and growing concern over power and water constraints.
The policy stance could change project economics for hyperscalers and developers, while protecting households and other industries from cross-subsidising energy-intensive digital infrastructure.
Watch whether the government formalises separate tariffs or grid-contribution rules for new data-centre approvals.
AI stocks swing after TSMC beat and CoreWeave sell-off
US markets steadied on Thursday despite sharp intraday moves in AI-linked stocks, with TSMC’s US-listed shares falling as much as 5.3% before closing down 1.8%. CoreWeave fell as much as 9.5% after a 15.5% tumble the previous day.
TSMC reported profit above expectations and said strong demand should continue in the final three months of 2026. Nvidia, the largest weight on the S&P 500, also declined, reflecting how concentrated AI exposure has become in major US indices.
The divergence between strong AI fundamentals and weak share-price reaction shows markets are now questioning valuation, leverage and funding assumptions around the AI build-out.
Watch CoreWeave funding conditions, Nvidia’s next earnings and whether AI infrastructure companies can refinance at acceptable spreads.
UK competition regulator proposes strategic status for Microsoft in business software
MarketOne’s October 16 market briefing said the UK Competition and Markets Authority proposed designating Microsoft with Strategic Market Status in business software. The briefing also said Microsoft and Amazon were flagged for cloud-choice measures.
The development reflects growing European regulatory scrutiny of cloud and enterprise-software market power. If finalised, strategic status could bring conduct requirements affecting bundling, interoperability and customer switching.
Cloud regulation affects enterprise IT costs, AI deployment choices and the bargaining power of hyperscalers serving global and ASEAN businesses.
Watch the CMA’s formal decision, remedies consultation and responses from Microsoft and Amazon.
Fed chair signals steady policy view and plans AI productivity hearing
Federal Reserve chair Kevin Warsh signalled on Friday that the economic outlook had broadly evolved as expected since the September meeting, despite an inflation jump. He also said the Fed would hold the first field hearing of its productivity and jobs task force on November 16 in the Bay Area, focused on AI and other technologies.
The remarks came during the IMF and World Bank annual meetings in Bangkok. The planned hearing shows the Fed is treating AI’s impact on labour markets and productivity as a policy-relevant issue rather than a long-term abstraction.
US rate expectations drive dollar funding conditions for ASEAN markets, while the Fed’s AI-productivity work could influence how policymakers interpret growth and inflation data.
Watch the November 16 Bay Area hearing and the next Federal Open Market Committee statement for language on productivity, labour-market slack and inflation persistence.
Wall Street started the week near record highs before tech weakness took over
US stocks opened the week with a mixed finish on Monday while remaining near all-time highs. AP said roughly 64% of S&P 500 companies rose, led by communication-services stocks, even as investors awaited a busy week of earnings and macro signals.
The early-week resilience contrasts with the later technology-led sell-off, showing how quickly market leadership shifted from broad participation to AI and chip-sector concern. The sequence matters for assessing whether the pullback is a rotation or a broader de-risking.
Understanding the week’s progression helps investors separate a normal rotation near record highs from a more serious unwind of AI-linked valuations.
Watch breadth indicators, equal-weighted index performance and whether defensive sectors keep outperforming high-multiple technology names.
Indonesian stocks suffer worst one-day fall since 1998 after MSCI flags standalone downgrade
Indonesian equities plunged as much as 11.4% on Friday after MSCI said the market no longer qualified for emerging-market status and could be moved to standalone classification. The fall took the benchmark to its lowest level since early November 2020 and made it the worst one-day drop since January 1998.
MSCI’s move threatens capital outflows from passive and benchmark-tracking investors, and Jakarta stocks have now lost nearly 40% this year. The shock hit Southeast Asia’s largest economy at a time when regional investors are already reassessing liquidity, governance and index eligibility risks.
An MSCI reclassification would alter global fund allocation to Indonesia and could spill into ASEAN risk pricing, currencies and foreign-flow assumptions.
Watch MSCI’s formal consultation and implementation timetable, plus Bank Indonesia and Jakarta exchange measures to stabilise market liquidity.
