Tengku Zafrul proposes MIDA to target 10pc y-o-y increase in approved investments

Tengku Zafrul proposes MIDA to target 10pc y-o-y increase in approved investments

08 Mar 2024

The Malaysian Investment Development Authority (Mida) should set a target of at least a 10 per cent increase in approved investments from RM329.5 billion last year.

Investment, Trade and Industry Minister Datuk Seri Tengku Zafrul Abdul Aziz said that there is a definite correlation between approved investments and the nation’s gross domestic product (GDP).

“So, in my opinion, if Bank Negara Malaysia (BNM) and the Ministry of Finance expect our GDP to grow by 4.0-5.0 per cent this year, then Mida should target at least a 10 per cent increase (in approved investments).

“I understand that investments also depend on external factors, but we must set a target because investments are a component of the GDP, so we need to align with the GDP target. This is only my suggestion,” he said.

The minister said this during the media briefing on the Seminar on East Coast Rail Link-Economic Accelerator Project (ECRL-EAP) Business and Investment Opportunities held here today.

“I think we need to set key performance indicators for both approved and executed investments,” he said.

Meanwhile, Tengku Zafrul empathised with the plight of the Goodyear employees, adding that the government’s priority is to ensure the welfare of the workers.

Yesterday, the global tyre manufacturer announced the closure of its factory in Shah Alam starting June this year as part of its cost-cutting measures — a move which will affect some 500 employees.

“Miti and its agency Mida have mobilised a special team, involving the Social Security Organisation and the Labour Department through the newly formed Invest Malaysia Facilitation Centre to facilitate job placement assistance for the employees and offer skills enhancement and reskilling programmes,” he said.

He noted that Goodyear has also assured that they will provide compensation higher than what is mandated by law.

“The company is also collaborating with Proton Holdings Bhd and several other companies to provide suitable job opportunities.

“Most importantly, all these efforts have begun before the announcement of the factory closure to ensure a smooth transition process for the workers,” added Tengku Zafrul.

Source: Bernama