International Trade and Industry Minister Datuk Seri Tengku Zafrul Abdul Aziz.
KUALA LUMPUR: Budget 2025 has set aside sizeable funds, both fiscal and non-fiscal, to ensure the success of the National Semiconductor Strategy (NSS), which is part of the New Industrial Master Plan 2030 (NIMP 2030), says Investment, Trade and Industry (Miti) Minister Tengku Datuk Seri Zafrul Abdul Aziz.
Among the initiatives announced in the budget, he said were the RM1bil sovereign fund for the electrical and electronics sector and high-value activities as well as training funds allocated for several universities.
Apart from that, he said there are initiatives to support mid-tier companies as well as tax incentives for companies in the industry.
“I think we are on track (to achieve the target set in NIMP 2030). You have seen exports continue to grow in these sectors as well.
“And if you look at the just-announced report card for our NIMP 2030, we should see positive growth by year-end, and growth in the manufacturing sector has contributed close to a 5% increase to our gross domestic product this year,” he said this during an interview with CNBC Asia Squawk Box yesterday.
Tengku Zafrul was commenting on the progress of the NSS and NIMP.
When asked how the new tax would help finance the bigger budget of RM421bil, he said that apart from the tax on dividends as well as the larger scope of sales and service tax, emphasis is given on cost discipline, for instance, via the merging of several agencies under Miti.
“Yes, I am quite confident that we will meet the budget estimate. We have been meeting our deficit target, for example, and I think we will hopefully achieve it (fiscal target) in 2024,” he said.
The ministry will also continue with initiatives to drive trade and investments to spur the country’s growth, added Tengku Zafrul. — Bernama
