PM unveils 21 new projects worth RM20.46 billion

Najib delivers key thrusts of the ETP with six updates under the Strategic Reforms Initiatives.

KUALA LUMPUR: Prime MinisterNajib Tun Razak today announced 21 new projects under seven National Key Economic Areas (NKEAs), expected to boost GNI by RM4.59 billion and create 39,918 jobs.

In his address, the prime minister also provided comprehensive updates on six policy reforms initiatives under the Strategic Reform Initiatives (SRIs), delivering on two key thrusts of the Economic Transformation Programme (ETP) – focus and competitiveness.

Speaking at the ETP’s 1st Progress Update for 2012, Najib reported on the implementation progress to date under the SRIs, which are derived from the 51 policy recommendations made by the National Economic Advisory Council.

Key updates on the progress made under the SRIs include:

• Human Capital Development SRI: The recently gazetted Minimum Wage Act.

• Human Capital Development SRI: The addition of five more partners to the MyProCert Programme, aimed at up-skilling Malaysians with international standard ICT professional certifications.

• Competition, Standards and Liberalisation SRI: Establishment of the Competition Appeal Tribunal, with the exclusive jurisdiction to hear appeals regarding decisions made by the Malaysian Competition Commission (MyCC).

• Competition, Standards and Liberalisation SRI: The development of 12 Malaysian Standards (MS) related to light emitting diodes (LED) were fast-tracked following the ban on incandescent light bulbs beginning January 2014 by the Ministry of Energy, Green Technology and Water.

• Competition, Standards and Liberalisation SRI: Effected liberalisation of nine services sub-sectors – accounting/taxation services, courier services, departmental and specialty stores, incineration services, private hospital services, skills training services, telecommunications and Technical & Vocational Schools/ Technical & Vocational Schools (for students with special needs) – allowing up to 100% foreign equity with entry of foreign professionals permitted.

• Public Finance SRI: The Inland Revenue Board (IRB) and Royal Malaysian Customs Department both implemented initiatives to improve tax administration and compliance. This resulted in tax revenue for LHDN and Customs in the first quarter of 2012 amounting to RM192.8 million, surpassing its target collection of RM191.4 million.

Clear material outcomes
Najib in his address commended “the various ministries, agencies and organisations, both private and public, who are working tirelessly to implement the SRIs. The SRIs began less than a year ago and we are seeing some clear material outcomes.”

With Gross Domestic Product (GDP) growing at 4.7% in Q1 of 2012, above general consensus, the prime minister reminded Malaysians that the ETP is “far from saying ‘mission accomplished’.

“Global economic headwinds are still uncertain, and now more than ever we must keep to our true north, to focus on the key engines of growth in the economy, and to be competitive globally.”

The 21 projects announced today – which fall under the Agriculture, Business Services, Education, Healthcare, Wholesale & Retail, Electrical & Electronics and Greater KL/Klang Valley NKEAs – include:

• Agriculture NKEA: Committed investment of RM456.69 million, contributing some RM367.58 million in GNI and creating 2,539 jobs by 2020;

• Business Services NKEA: Committed investment of RM2.40 billion, contributing RM1.41 billion to GNI in 2020 and creating 10,909 jobs by 2020;

• Wholesale & Retail NKEA: Committed investment of RM466.8 million, contributing RM1.1 billion to GNI and creating 16,363 jobs by 2020;

• Healthcare NKEA: Committed investment of RM107.14 million, contributing some RM238.06 million to GNI and creating 3,735 jobs by 2020.

• Education NKEA: Committed investment of RM535.58 million, contributing some RM146.39 million in GNI and creating 660 jobs by 2020.

• Electrical & Electronics NKEA: Committed investment of RM4 billion, creating 1,000 jobs in 2020, 400 of which will be highly-skilled jobs.

• Greater KL / Klang Valley NKEA: Committed investment of RM12.5 billion, contributing some RM1.34 billion to GNI and creating 4,712 jobs by 2020.

Collectively, the 21 projects unveiled today amounted to more than RM20 billion in committed investments, creating 39,918 jobs, with a total gross national income (GNI) impact of RM4.59 billion in 2020.