The growing demand for wireless connectivity is attracting interest in optical wireless communication (OWC) technique. In this paper, a filter-aided crosstalk mitigation scheme, employing digital Nyquist filters, is proposed to eliminate the trade-off between the spatial resolution and the channel capacity for the AWGR-based 2D infrared beam-steered indoor OWC system. By shaping the transmitted signal for narrow spectral occupancy, the inter-channel crosstalk resulting from the imperfect AWGR filtering can be avoided, which enables a denser AWGR grid. In addition, the spectral-efficient signal reduces the bandwidth requirement of the AWGR, which allows a low-complexity AWGR design. Thirdly, the proposed method is not sensitive to the wavelength misalignment between AWGRs and lasers, which relaxes the design of high wavelength stability lasers. Moreover, the proposed method is cost-efficient as we can make use of the mature DSP technique without additional optical components. The 20-Gbit/s data rate OWC capacity using PAM4 format has been experimentally demonstrated over a 6-GHz bandwidth-limited AWGR-based 1.1-m free-space link. The experimental results show the feasibility and effectiveness of the proposed method. By combining our proposed method with the polarization orthogonality technique, a promising capacity per beam of 40 Gbit/s is potentially attainable.