JOHOR BARU: Johor has reduced its quota for bumiputra lots in industrial sites by 10% to attract more investors.
State International Trade, Investment and Utilities Committee chairman Jimmy Puah Wee Tse said the move to reduce the quota from 40% to 30% started in February.
“Developers of industrial sites have voiced concern over unsold bumi lots and sought assistance from the state government.
“After much consideration, we decided to implement this policy to increase their cash flow as well as encourage more investors to come in,” he said in a press conference after a Chinese New Year celebration at Grand Paragon Hotel.
“However, this only applies to industrial areas, with the 40% bumiputra quota at housing areas remaining the same.
“This move was also taken because of the low take-up rate of bumiputra lots at industrial areas, which is only at 2% or even lower,” he added.
Puah said with the new policy in place, it would be easier and faster for investors to buy factories here and boost the economy.“This is to safeguard the state government’s interest as well,” he said.
He said the new policy only applied to new development applications.
The 40% quota for ongoing developments remains.
“Developers who want the new policy for their ongoing development can appeal and we will evaluate on a case by case basis,” he said.