ETP attracts RM220bil investments

PUTRAJAYA: Malaysia’s three-year-old Economic Transformation Programme (ETP) has attracted RM220bil worth of investments via 195 projects that are expected to create some 435,000 additional jobs by 2020, said Datuk Seri Najib Tun Razak.

This amount, said the Prime Minister, was projected to contribute RM144bil to the country’s gross national income (GNI).

“As at the third quarter of this year, 69% or RM14.2bil of the RM20.5bil worth of investments committed for 2013 have been realised,” he said when announcing the results at the “ETP in the Third Year of Implementation” event here yesterday.

For next year, said Najib, Malaysia had set its sight on attracting 13 large multinationals to base their operations in Kuala Lumpur.

“Six international multinationals – with a projected minimum of US$600mil (RM1.94bil) in total turnover – will potentially establish their trading operations in the country,” he said.

Najib also highlighted other key economic achievements in the three-year period, including the tripling of the annual growth rate for private investment – up from an average of 5% between 2008 and 2010 to 16% between 2010 and 2012.

“This year, private investment is forecast to grow at 16.2%, hitting RM135.8bil. One aspect that gives me great satisfaction is our performance in reducing fiscal deficit.

“While many governments failed to deliver, Malaysia, by contrast, is strongly on track to achieve a balanced budget by 2020.

“We continue to slash back our fiscal deficit as a percentage of the gross domestic product (GDP). From 6.6% in 2009, we will reach 4% this year and further reduce it to 3% in 2015,” he said, thanking those involved in driving the investments and growth.

This year, Najib added, had seen significant investments being committed by businesses and facilitated by various government agencies, including the Malaysian Investment Development Authority (Mida) and the regional corridors.

“Mida’s first nine months saw RM137bil worth of investments from 3,908 projects creating 126,000 jobs. The corridors, meanwhile, saw committed investments of RM53.4bil,” he said, describing them as “fantastic numbers”.

Among the many projects that came to his attention, said Najib, were the collaboration between private and public sectors to bring real results to the very heart of the local communities.

He cited the example of Johor dairy farmers who, with the help of private firms and government agencies, had successfully increased their productivity level by 50% and consequently, their selling price from RM1.70 per litre of milk to RM2.40.

He said there was also a 12% hike in the income from paddy farming activities within the 15,000ha “rice bowl” in Kedah and Perlis due to centralised management, the upgrading of irrigation infrastructure and farming techniques.

Najib said in urban development, the coming multi-theme connected retail component in Ara Damansara – known as the “Big Box Boulevard” project – was expected to exceed RM1.5bil in investment and create 2,409 jobs.