Liew: Allocation for NIMP 2030 is based on comprehensive analysis
28 Nov 2023
The estimated funding of RM94.6 billion for the seven-year period of the New Industrial Master Plan (NIMP) 2030 is derived from a comprehensive analysis of the funding required to achieve the targets stated in the plan.
Deputy Investment, Trade and Industry Minister, Liew Chin Tong, said this analysis takes into account various factors such as the project capital cost, product research and innovation, technological improvement, infrastructure development and human capital training, with the aim of achieving the objective of NIMP 2030.
He added that 90 per cent of the funding will be financed by the private sector through various financial sources such as equity, the capital market and local and international financial institutions.
“This initiative is also supported by financial institutions such as Bank Negara Malaysia and collaborations from various private financial institutions. The strategy is to provide various financing options in various sizes depending on the need of the industry,” he said during the oral question and answer session at the Dewan Rakyat today (November 28) in response to a question from Datuk Wira Ku Abdul Rahman Ku Ismail (PN-Kubang Pasu) on the RM85.5 billion fund from the private sector that represented 90 per cent of the total RM95 billion required for the seven years to implement NIMP 2030.
He pointed out that the Credit Guarantee Corporation has also played an important role in the ecosystem in offering credit guarantees to reduce the risk to private financial institutions as well as increase accessibility to financing for small and medium entrepreneurs.
Meanwhile, Liew said the government is also in the process of reorganising the landscape of the nation’s Investment Promotion Agencies (IPAs) starting from coordinating the functions and roles of regional economic corridors related to investment through rationalisation of IPA.
He said this is important to ensure Malaysia can optimise available resources to guarantee the delivery of IPA services to be more systematic and well-managed as well as programmes to encourage a more effective investment promotion programme.
Liew added that the government will always give equal and balanced focus on encouraging Domestic Direct Investment (DDI) and Foreign Direct Investment (FDI) where the growth of both is equally important in contributing to the strengthening of the country’s economy as a whole.
“It needs to be recognised that DDI and FDI are interdependent and complement each other in supporting the ecosystem as well as the value chain and sourcing of their respective sectors,” he added.
Source: Bernama
