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Abstract: Predicted to be the clean energy of tomorrow, solar energy has been in the forefront of energy development in many developed countries and a potential source of energy to developing countries like Malaysia. This paper presents Malaysia''s solar energy or solar photovoltaic developmental outlook. The study is done by first looking into the country''s energy policies related to solar energy. Key players in the solar energy development such as government institutions are introduced. Early solar energy programmes and a key project called Malaysia Building Integrated Photovoltaic (MBIPV) as well as its successful initiatives will be presented. Measures which have taken by the government of Malaysia including attractive incentives to encourage solar photovoltaic development, the country''s potential in solar energy, foreign investments and future directions as well a feed-in tariff scheme will be presented in length to provide a broad spectrum of solar energy development in Malaysia. The outlook has been positive and the country is active in promoting solar as an alternative energy and is aware of benefits it will bring toward its economic development in the future. [Copyright &y& Elsevier]