14-1-2025 (KUALA LUMPUR) Malaysia is pushing for sweeping legal reforms to combat a surge in online fraud, as financial losses from scams reached a staggering 1 billion ringgit last year, prompting authorities to look towards Singapore’s robust anti-scam framework for inspiration.
The alarming figures have catalysed urgent calls for regulatory reform, particularly concerning telecommunications providers, which are viewed as crucial gatekeepers in the fight against digital fraud. The proposed changes have garnered broad backing from police, banking leaders and government officials.
Speaking at a press briefing on Monday, Royal Malaysia Police Commercial Crime Investigation Department Director Ramli Mohamed Yoosuf emphasised the pressing need for legislative action. “Our current legal framework requires immediate modernisation to match the sophistication of today’s cybercriminals,” he stated.
The reform initiative gained significant traction following Prime Minister Anwar Ibrahim’s recent disclosure that Bank Negara Malaysia had initiated discussions with telecom operators to strengthen anti-scam protocols. This development comes in the wake of Singapore’s groundbreaking Protection from Scams Bill, enacted on 7 January, which arms law enforcement with enhanced powers to combat digital fraud.
Singapore’s legislation, which permits authorities to freeze suspicious accounts and restrict credit access for potential scam victims, has proven effective in a nation where fraudsters extracted over S$385 million last year. The law’s success has caught the attention of Malaysian officials and banking executives alike.
Maybank CEO Khairussaleh Ramli has emerged as a vocal advocate for similar measures in Malaysia. He particularly highlighted the urgent need to address the widespread availability of anonymous SIM cards, which can be purchased online for merely 15 ringgit, providing scammers with virtual anonymity.
The Singaporean model has established a balanced approach, allowing police to suspend transactions for up to 30 days whilst ensuring victims maintain access to essential funds. This framework has already influenced regional policy, with Thailand implementing comparable measures, including mandatory sender verification for registration-related text messages.
