Asean endorsed Malaysia-led regional framework on cross-border cloud computing 

• Framework aims to reduce regulatory friction and boost investor confidence
• Introduced common principles to harmonise cross-border cloud governance

The Association of Southeast Asian Nations (Asean) has endorsed a Regional Framework on Cross-Border Cloud Computing conceived and spearheaded by the Ministry of Digital through its agency, the Malaysia Digital Economy Corporation (MDEC), marking a strategic milestone towards enabling trusted, seamless data flows across member states while supporting regional digital integration and growth.

In a statement, MDEC noted that the framework was endorsed at the 6th Asean Digital Ministers’ Meeting (ADGMIN) held recently in Hanoi, Vietnam. It sets out common principles for legal and regulatory governance of cloud computing to support cross-border data hosting while strengthening safeguards for data protection among Asean member states.

Minister of Digital, Gobind Singh Deo said that the framework is designed to provide greater regulatory clarity, raise data governance standards and support secure and seamless cross-border data flows as the region’s digital economy expands and continues to thrive.

“This regional framework balances data protection, legal certainty and business innovation. It strengthens investor confidence across jurisdictions while supporting the growth of cross-border digital trade and digital services,” he added.

The framework introduces shared principles for cloud data governance, including safeguards for data at rest and in transit, clearer rules on regulatory access, alignment with international standards, and the concept of Trusted Data Corridors (TDC) to facilitate secure cross-border data hosting and transfers. It also guides regulated sectors such as healthcare and financial services in adopting cloud technologies without compromising regulatory requirements, data protection or operational resilience.

“The framework is timely as Malaysia’s data centre and cloud ecosystem continues to expand, reinforcing our position as a regional hub for cloud computing and AI while strengthening investor and industry confidence,” Gobind said.

MDEC CEO, Anuar Fariz Fadzil described the framework as reflecting strong regional cooperation to reduce regulatory friction and unlock new investment and innovation opportunities across all Asean member states.

“Regulatory fragmentation has long challenged businesses operating across Asean. This framework offers a practical approach to harmonising rules, reducing compliance risks and supporting the growth of cloud-enabled, data-driven services,” he said.

Anuar added that the framework supports Malaysia’s broader digital economy strategy to attract high-quality investments, strengthen the cloud and data centre ecosystem, and enable local and regional companies to scale using trusted digital infrastructure in line with AI Nation 2030 objectives.

“As cloud and digital technologies become central to economic growth and shared prosperity, Asean needs clear, interoperable frameworks to support seamless cross-border digital activity. This framework is an important step towards building a trusted regional digital foundation and could serve as a model for other regions,” he said.

Meanwhile, the Asian Business Law Institute (ABLI), which acted as consultant to the project, said the framework serves as “a comprehensive policy instrument combining high-level principles with practical guidance” to support trusted and seamless cross-border cloud adoption across the region.