Government to focus on digital, tech sectors to put KL in world’s top 20 hubs
18 Oct 2024
The government will focus on prioritising digital and technology-based industries, under the high growth high value (HGHV) initiative framework.
This is in line with the goal to position Kuala Lumpur as the leading strategic hub for startups in Southeast Asia and top 20 globally by 2030, said the Economic Outlook 2025.
The report said these initiatives will support Ekonomi Madani’s aspiration in positioning Malaysia as one of the top 30 economies globally.
The KL20 Action Plan (KL20) has been formulated to strengthen the national startup ecosystem and outlined the specific goals to be delivered by 2030.
“The Action Plan underlines five key priorities and several initiatives to transform the ecosystem comprehensively.
“The KL20 lays out tangible reforms to converge key stakeholders, consisting of founders, venture capitalists, talents, incubators and accelerators, with the national agenda of spurring new opportunities, including job creation in high-growth potential fields and enhancing socio economic values,” it said.
The report said the initiatives will benefit small and medium enterprises (SMEs) and entrepreneurs by providing funding and business support as well as facilitating prospects for investment and collaboration.
Khazanah Nasional Bhd, Kumpulan Wang Persaraan (Diperbadankan) and BlueChip Venture Capital will create a fund of RM3 billion (RM1 billion each) to attract more venture capital to invest in Malaysia.
The proceeds are earmarked to invest in promising early-stage startups, including via equity financing, knowledge-sharing as well as opportunities to collaborate with industry players, incubators and accelerators.
The economic report added that the government will speed up initiatives under the pre-implementation stages with an effective tracking of any shortcoming during the implementation process.
“Nurturing the growth of promising startups in Malaysia will not only drive domestic innovation but also pave the way for the emergence of homegrown unicorns’ capable of thriving on the global stage,” it added.
Source: NST
