India, which won the Asia Cup last time in 2007 in Chennai, scored from field efforts through Ramandeep Singh (3rd minute) and Lalit Upadhyay (29th) to dash Malaysian hopes. Malaysia were in summit clash for the first time since tournament's inception.
The ever-improving Malaysians, however, fought valiantly and didn't give up for a single minute. Their efforts bore fruit in the 50th minute when Shahril Saabah pulled one goal back.
Pakistan won the bronze medal after edging out Korea 6-3 in the third-fourth place play-off match earlier in the day.
For India' new chief coach Marijne Sjoerd, it was perfect start to his stint as the Asia Cup was his maiden tournament in charge of the senior national side.
More From This Section
The top-ranked Indians finished unbeaten in the tournament, having won all their matches except for the 1-1 draw against Korea in th Super 4 stage.
Today's win was India's second victory over Malaysia in the tournament, having beaten them 6-2 in the Super-4 stage.
The Indians came out all guns blazing and took the lead as early as the third minute through Ramandeep, who scored from a rebound after his initial deflection from SV Sunil's cross hit the post.
Chinglensana Singh's reverse hit from close range then went wide as India wasted a golden chance.
It was a battle fought on even keel between the two teams as Malaysia secured their first penalty corner in the 13th minute but wasted it.
Minutes later Malaysian goalkeeper Kumar Subramaniam made double save -- first kept out Akashdeep Sinh's shot and then denied Amit Rohidas from the resultant set piece.
A minute before the half time, Lalit doubled India's lead when he beautifully deflected home Sumit's reverse hit cross from the left flank.
After the change of ends, Lalit and Ramandeep came tantalisingly close to extending India's tally of goals but their shots from inside the D were off target.
After wasting their second penalty corner, Malaysia came back into the match when Saabah scored from close range in the 50th minute as the Young Indian defence wilted under pressure for a second.
It was nervous last 10 minutes for the Indians as Malaysia mounted attack after attack in search of an equaliser.
In the form of their third penalty corner, Malaysia had a golden opportunity to take the match into shoot-out but the Indian defence stood tall to maintain their slender lead.