Just putting this out cause the “predominantly Muslim” comment tilts the blame fully into Muslims. There are many non-Muslims in the country that are homophobic, and openly so. Homophobia isn’t just a religious problem, even though it looks like it generally is in the West. I’ve heard of the worst comments from non-Muslims, and I’ve heard of the best supportive statements from Muslims in Malaysia. Generally, the younger generation is more accepting, while the older generation is much harsher on LGBTQ+.
That said though, the government is still run by old farts, many of whom are, welp, old. It’s why we see these kinds of non-sensical laws coming out of their parliament. It’s even funnier if you look at other things they’ve rolled out in the recent years or even months.