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Malaysia Market Update from the Trade Commissioner Service

Malaysia is positioning itself as a regional and global education hub, driven by government initiatives, rising demand, globalization, technology, and international collaboration. Malaysian universities provide quality academic programs, modern facilities, global partnerships and showing significant improvement in global rankings, reflecting their commitment to excellence in education and research. The country attracts both local and international students seeking affordable, industry-relevant education in a multicultural environment. As the Chair of ASEAN for 2025, Malaysia has put a commitment to reducing socio-economic inequalities, creating sustainable economic opportunities across the region and positioning ASEAN as a model for sustainable development. A CAD $5.9 billion allocation for higher education this year has strengthen R&D and cross-sector collaboration.

The government’s 13th Malaysia Plan (13MP) 2026–2030, themed “Redesigning Development” outlines Malaysia’s strategic roadmap to enhance governance, economic resilience, inclusivity, and sustainability. Targeting annual GDP growth of 4.5–5.5% to be supported by CAD200 billion in investments, the 13MP prioritizes public sector reform and digital transformation. Key focus areas include significant allocations for education (CAD 22B) as well as initiatives in green energy, including nuclear power, artificial intelligence, the digital economy, Technical and Vocational Education and Training (TVET) expansion. The plan aspires to position Malaysia as a high-income nation and a regional leader in technology by 2030.

To support the growth of targeted industries, the development of highly skilled human capital and aligning efforts across ministries and agencies would remain Malaysia priority. Acknowledging that talent development programmes in AI, digital technologies, and electrical and electronics must be accelerated to prevent Malaysia from falling behind in global competition, the government will prioritise developing high-skilled talent in emerging technologies under the 2026 Budget. The move is crucial to support major investments by international companies and ensure Malaysia could supply the skilled workforce required. A notable skill gap exists between Malaysian industry needs and students’ capabilities, offering opportunities for Canadian educational and skills training providers that can align curricula with the demands of both local and foreign companies in Malaysia.

The upcoming Malaysia Education Blueprint (Higher Education) 2025-2035 will focus on digital transformation, AI, innovation, TVET, and aligning education with industry needs to boost employability and global competitiveness. The government strongly encouraged international education partnerships and collaboration in various forms such as student mobility, twinning programmes, dual-degree initiatives, franchising and collaborative research.

The Philippines Market Update from the Trade Commissioner Service

The Philippines is a vibrant market for Canada’s education sector, offering opportunities to deepen engagement in higher education. As of December 2024, there are over 180 partnerships between Canadian and Philippine Higher Education Institutions (HEIs). Since 2010, TCS Manila has promoted Canada as an education destination and a partner in education delivery, training, research, and development. The initiatives under this action plan will strengthen Canada’s people-to-people and business relationships with the Philippines, and Canadians’ ability to engage and benefit from Science, Technology and Innovation (ST&I) partnerships in the Philippines. This aligns with Canada’s Indo-Pacific Strategy, which aims to expand these types of economic linkages, increasing access to an emerging market, and facilitating further people-to-people ties.

One of Asia’s fastest growing economies, the Philippines has a young, skilled population with a median age of 25, and 64% of its 115 million people are over 18. Education is a top priority for the Philippines and has the largest share of the 2025 National Budget. Reforms in higher education, TNE partnerships, and internationalization have improved education delivery, training, and research, leading to 86 Philippine HEIs being globally ranked. The Philippines is enhancing its school workforce and infrastructure, developing globally aligned programs, and addressing job-skills mismatch through cooperation among government, industry, labor, and academia. These efforts support internationalization (IZN) and transnational education (TNE) programs, fostering innovation, entrepreneurship, and advancements in science and technology (S&T) and research and development (R&D).

The Commission on Higher Education (CHED) is committed to nation-building, working with Philippine HEIs to develop programs in areas vital to national development, such as food sustainability, climate change, green energy, meteorology, robotics, data science, STEM, and entrepreneurship. The Philippines attracted about 25,000 foreign students from India, China, Vietnam, Africa, and other countries, demonstrating progress toward becoming a regional education hub. The Philippines is a significant source of talent for Canada, presenting opportunities to introduce Canada’s innovations in lifelong learning to address Canada’s labour shortages. These innovations include micro-credentials, revising curricula, industry training, and enhancing industry-academia linkages. The current priorities of CHED are Advanced Manufacturing, Healthcare, Financial Services, Tourism, Agriculture, Fisheries, Energy, and Environmental Engineering.

As the designated chair of the ASEAN in 2026, the Philippines will anchor its international education initiatives on digital transformation, sustainability, regional harmonisation and equitable access to education.