Prime Minister Anwar Ibrahim said these funds will be channelled towards bolstering the capabilities of both local chipmakers and multinational companies.

He said Putrajaya will meanwhile provide RM200 million in matching grants to small and medium-sized enterprises and middlemen to bolster the supply chain in various key sectors.

Some RM180 million under the New Industrial Master Plan will finance industry development programmes in high-impact sectors like semiconductors, pharmaceuticals, artificial intelligence and sustainability.