Owing to the prevailing political tension between the two countries, PCB chairman Najam Sethi raised objections and it was unanimously agreed that the colts continental tournament be moved out of India.
According to sources, BCCI secretary Amitabh Choudhary didn't object to the shifting of venue.
"The matter of shifting the tournament to Malaysia was amicably agreed by all participants in the development and executive committees, since no one wanted it marred by security considerations of any member," Sethi was quoted as saying by 'ESPNcricinfo'.
The tournament will feature eight teams, with four - Pakistan, India, Bangladesh and Sri Lanka - qualifying automatically.