Technology Sector Benefits from Global Chip Demand Recovery, M'sian Tech Index Up 2.3%

February 22, 2026
Sector Analysis
Bloomberg

The Malaysian Technology Index surged 2.3% this week, driven by a global recovery in semiconductor demand and increasing investments in AI-related technologies. Key players like Inari Amertron and Malaysian Pacific Industries showed impressive gains, reflecting strong market confidence in the sector's future prospects.

The Malaysian technology sector demonstrated robust performance this week, with the Technology Index climbing 2.3% to 68.50 points. This significant growth was primarily driven by clear signs of a global semiconductor industry recovery and the sustained surge in demand for Artificial Intelligence (AI)-related technologies. Local semiconductor assembly and test companies, such as Inari Amertron Bhd, saw their share prices rise by 2.5% to RM3.65, while Malaysian Pacific Industries Bhd (MPI) recorded a 1.8% gain to RM31.20. Analysts highlight that despite ongoing global economic uncertainties, the widespread adoption of 5G technology, the Internet of Things (IoT), and AI is fueling chip demand, thereby creating new growth opportunities for Malaysian tech manufacturers. The sector is widely expected to maintain its strong growth momentum throughout 2026.
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