SYNERGY BETWEEN PEMUDAH AND PRIVATE SECTOR FOR AN IMPACTFUL 9th MALAYSIA PLAN

 

Kuala Lumpur 28 February 2007 – Joint efforts between the Government and the Private Sector organisations are vital if Pemudah is to achieve its objective, as it is imperative in ensuring the successful implementation of the 9th Malaysia Plan.

Since the announcement made by the Prime Minister earlier this month on the Government’s setting up of Pemudah, a high-powered 23-member task force comprising top civil and private sector individuals positioned to promote faster reform in the country’s delivery system and enhance economic activity, all have the same question in mind – Can Pemudah come up with measures that would make a difference to the public delivery system in these six months?

According to accounting and consulting firm Shamsir Jasani Grant Thornton Managing Partner Dato’ N K Jasani, with the support from the Private sector organisations, Pemudah will not only be able to improve the delivery system but warrant the success of the 9th Malaysia Plan, launched in March last year, as the Plan’s success relies heavily on how much of the Government’s promise can be delivered within the 5 years, with the Plan concluding in 2010.

“The 9th Malaysia Plan followed by the action-oriented Budget 2007, also places heavy reliance on private sector investments and Private Financial Initiative (PFI) led Government projects. It also encourages Foreign Direct Investments (FDIs). What is critically needed is more pro-active and timely approval. This is even more vital for sought-after high impact projects. Now, with this Special Task Force intended to overhaul archaic procedures and unnecessary bureaucratic red-tape, we hope that the Government will be able to grant faster, and comprehensive all-in-one approvals, comprising not only investment and tax breaks, but also critical issues to FDIs like expatriate work permits, level of foreign equity and suitable project sites,” said Dato’ Jasani.

He said this was reflected in a recent survey conducted by Grant Thornton International comprising Malaysian business leaders from the Medium to Large Enterprises (MLEs), 52 percent of the respondents think the 9th Malaysia Plan will have positive impact on their businesses, however they felt that the slow delivery system and numerous regulatory requirements held back the successful implementation of the Plan.

“As the Report explores key issues such as the economic prospects, business expectations, operating in foreign markets, importing and exporting trends and stress among business owners, the positive view by more than half of the survey respondents is an indication of the public’s high level of confidence towards the Government’s initiative to achieve the national vision of a developed nation status by 2020 and may help in formulating relevant Government policies.”

“In this respect, the Government should note that joint efforts between the Private Sector organisations like Grant Thornton and the Government through Pemudah are essential to improve the nation’s business environment as well as encourage more investments and more jobs for Malaysians.”

Dato’ Jasani added that the National Implementation Directorate under the Economic Planning Unit should initiate dialogues with Private Sector organisations to publicise this new initiative. These organisations can, if required, perform the essential global awareness and “hand-holding” roles for the high impact investors, concludes Dato’ Jasani.

The results was part of Grant Thornton’s annual survey known as the International Business Report (IBR), which explores the views of 7,200 business leaders in 32 countries representing 81 percent of global GDP. As the only survey of its type, the Report conducted on a confidential basis was previously known as IBOS (International Business Owners Survey), which provides a valuable source of global business information affecting Medium to Large Enterprises (MLEs), gauging the opinions of their senior management such as the Managing Directors, Chief Executive Officers, business owners or other senior executives on their economic outlook and company expectations for the coming 12 months.

The Report’s first findings on Optimism/Pessimism were released in January. The findings showed that Asian business owners continue to be the most confident in the world, with India, the Philippines, Mainland China and Singapore taking the top four positions in the survey. In the case of Malaysia, the confidence index has increased from 36% in 2006 to 38% this year, citing a balance percentage with global average of 45%. Its second results on Emerging Markets saw Malaysia benefiting from the booming economies of China and India by ranking amongst the TOP TEN exporters to the two countries.

Further findings from the survey will be published throughout the first half of 2007, with the full results expected to be ready by June this year.

March – Women in Business – to be released in conjunction with United Nation’s International Women’s Day
March – Super Growth Index
April – Energy and Environment
May – Business Stress June – Global Report