Economists expect 13MP will set out to boost Malaysia's competitiveness
KUALA LUMPUR: The 13th Malaysia Plan (13MP) is expected to enhance Malaysia's competitiveness by promoting high-value manufacturing through business and investor-friendly policies, say economists.
Putra Business School associate professor Dr Ahmed Razman Abdul Latiff said that the 13MP, which serves as the country's indicative development plan from 2026 to 2030, will help stimulate both domestic and foreign investments through policy reforms and incentives.
'The 13MP can position Malaysia as a leader by leveraging existing strengths in manufacturing and semiconductors, driving regional integration through Asean frameworks and adopting strategic regional positioning.
'It should also aim for the advancement of the semiconductor value chain and enhance regional supply chain resilience while not forgetting sustainability and inclusivity among local businesses,' Ahmed Razman said.
The 13MP document is scheduled to be tabled at the Dewan Rakyat sitting on July 31 by Prime Minister Datuk Seri Anwar Ibrahim.
The prime minister had previously said the 13MP was being formulated with a focus on the economic empowerment of the people through increased income, inclusive and sustainable economic structural reforms, as well as strengthening governance and efficiency in the delivery of public services.
In addition, Ahmed Razman said the five-year strategic plan should also promote automation through incentives for technology adoption, support for workforce transitions, and clear and stable policies.
'The 13MP should accelerate digitalisation by investing in digital infrastructure, providing incentives for digital adoption, creating ecosystems and collaboration, as well as strengthening cybersecurity and data governance,' he added.
Sunway University economics professor Dr Yeah Kim Leng said the 13MP should prioritise creating and enabling an environment for free markets to thrive and for private enterprises to innovate, compete, and prosper.
Yeah noted that Malaysia is expected to transition into a high-income nation, as defined by the World Bank, during the 13MP period from 2026 to 2030. Yeah emphasised that one of the key drivers of this transition is the ongoing expansion of high-value and advanced manufacturing and service sectors.
'The recent increase in foreign direct investment in these areas has enhanced the country's competitiveness and its strategic position as a regional hub for the semiconductor supply chain and data centres.
'In addition to semiconductors and data centres, industries such as artificial intelligence and those related to the Fourth Industrial Revolution (Industry 4.0) are also significant.
'The 13MP is expected to promote structural advancements in other high-growth and high-value industries, including renewable energy, carbon capture and storage, medical devices, and pharmaceuticals,' he said.
Yeah added that the 13MP initiatives should also address the increasing demand for more sophisticated and higher-quality services, which will subsequently drive growth in finance, education, healthcare, and aged care. — Bernama
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New Straits Times
3 hours ago
- New Straits Times
No more jaguh kampung: 13MP must fix education at its root
WE know this story too well. For decades, learner drivers have been quietly told to pay a little extra — not just for driving school fees, but also for something more insidious. A token for the tester, so he would be more lenient. It was whispered as tradition, shrugged off as harmless. But it boils down to one thing: the lowering of standards. And it does not stop at driving tests. Stories abound of students scraping through with the barest of marks, or earning distinctions with percentages that would not meet the bar elsewhere. If this continues, we are not building a nation — we are building a myth. A jaguh kampung mindset: champions of the small pond, unprepared for the ocean. The 13th Malaysia Plan (13MP), running from 2026 to 2030, places education and talent development at the heart of national transformation. Prime Minister Datuk Seri Anwar Ibrahim — himself a former education minister — has called for sweeping reforms. And rightly so. He knows, perhaps better than most, what must be done. We need: PRESCHOOL reform that nurtures curiosity, not just compliance; TEACHER training that attracts the committed and talented, not those seeking a stable government job; and, A NATIONAL embrace of STEM education as the foundation of future competitiveness. Because here's the truth: if we fail to invest in the early years and the educators who shape them, we are not just short-changing students — we're sabotaging our future workforce. The 13MP rightly elevates Technical and Vocational Education and Training (TVET). For too long, TVET was treated as a fallback. But in a world hungry for skilled technicians, coders and creators, it's the new frontline of innovation. Politicians and educators must stop viewing TVET as a second-tier option. It's not. It's strategic. It's essential. The 13MP promises to tackle the urban-rural education gap. But promises must be matched with infrastructure. Digital access, teacher deployment and community engagement must be prioritised — not just in policy papers, but in budget allocations and boots-on-the-ground execution. In this respect, Communications Minister Datuk Fahmi Fadzil deserves credit for pushing Internet access in rural schools. But we need more than connectivity — we need continuity, quality and commitment. For far too long, we have treated education as a routine function — another line item in the national budget. But when we neglect its deeper purpose, we find ourselves adrift. As Ghanaian philosopher Ernest Agyemang Yeboah reminds us: "Education is the spine of every nation. The better the education, the better the nation." Education needs a reckoning. And the 13MP could be that moment — if we dare to treat education not as a segment, but as the soul of our national progress. Education must be the engine of economic and societal progress. No compromise on quality upskilling, lifelong learning and workforce readiness. This is where Kesuma — the Human Resources Ministry under Steven Sim — can play a transformative role in shaping Kesuma Bangsa: the young talent who will be the pride ofMalaysia. With talent development now a national priority, reorganising the National Education Master Plan to reflect current realities is not optional — it's imperative. Malaysia's education system has long been caught between legacy structures and modern demands. We have spent years tweaking curricula, debating exam formats and sparring over language policies. But the deeper question remains: are we preparing Malaysians to thrive — not just survive — in a world that's changing faster than our syllabi? The 13MP offers a rare window to answer that question with boldness. The time is now.
Barnama
4 hours ago
- Barnama
PM's Announcement Timely, Provides Relief Amid Rising Cost Of Living Pressures
Experts contacted by Bernama described the Prime Minister's announcement as timely, highlighting the government's commitment to building a fairer and more prosperous future for the people. KUALA LUMPUR, July 23 (Bernama) -- The much-awaited announcement by Prime Minister Datuk Seri Anwar Ibrahim, made in appreciation of all Malaysians, was finally unveiled today, offering a ray of hope and underscoring the government's continued concern for the people's well-being. He said the announcement came amid mounting challenges, including food inflation, soaring house prices, burdensome loan interest rates and global economic uncertainty. Universiti Malaya sociopolitical analyst Datuk Professor Dr Awang Azman Awang Pawi said several of the measures introduced by Anwar brought significant benefits to the people, particularly in alleviating the burden of the rising cost of living. They viewed it as a clear reflection of the government's concern over the public's struggles with the rising cost of living, as well as a step towards restoring confidence and stability in the national economy during these challenging times. The Prime Minister also announced that there would be no increase in electricity bills for the majority of domestic consumers in Peninsular Malaysia following the restructuring of electricity tariffs that took effect this month. Earlier today, Anwar announced several key initiatives as a gesture of appreciation to the people, including a one-off RM100 aid under the Sumbangan Asas Rahmah (SARA) programme, a freeze on toll hikes for 10 highways, and a targeted subsidy bringing RON95 fuel price down to RM1.99 per litre. 'Any government initiative that helps ease the people's burden should be welcomed. This announcement comes at a critical time, as many are caught in a cycle of household debt, employment uncertainty and a widening income gap,' he told Bernama. In fact, he said 85 per cent of domestic users would see up to a 14 per cent reduction in their July 2025 bills for the same level of usage compared to the first half of this year. Awang Azman said the one-off assistance was much needed as an interim measure while awaiting more structured and far-reaching government policies through the upcoming budget or the 13th Malaysia Plan (13MP). He said that the initiative also demonstrated the prime minister's concern for the people's real needs. 'The next step is not just to provide temporary relief but is expected to be expanded through the upcoming budget and the 13MP, which will address root issues such as the wage-cost of living mismatch, the need for affordable housing, and the strengthening of the social safety net,' he said. Awang Azman pointed out that attention needed to be given to transparency and efficiency in implementation to ensure the initiatives truly benefited the deserving groups. 'Effectiveness lies not only in the content but also in how the initiatives are implemented. Is the monitoring mechanism transparent enough to prevent leakages? The real challenge for the MADANI government is to implement this policy with integrity and efficiency so that it truly serves the people at the grassroots level,' he added. Meanwhile, director of the MBA & DBA Programme at Putra Business School Prof Dr Ahmed Razman Abdul Latiff said the government had shown attentiveness to the people's concerns by announcing immediate aid without waiting for the 2026 Budget. 'The assistance is provided immediately to individuals and those in need without waiting for next year's budget to be tabled. Although inflation is low, the reality is that many still require direct aid,' he said. Rejecting views suggesting the announcement was purely populist, Ahmed Razman said the cash assistance also extended to those in the M40 group, who were often mistakenly perceived as sidelined in aid distribution. Political analyst Prof Datuk Dr Sivamurugan Pandian viewed the good news announced by the prime minister as a continuation of various incentives and assistance introduced by the MADANI Government to ensure the people continued to receive direct and ongoing benefits. 'I believe this is not the end. There will be several more phases rolled out later, depending on the government's position and capabilities at that time,' said the sociology of political society lecturer at Universiti Sains Malaysia. While some regarded the announcement as a temporary measure, he said it nevertheless had a significant impact amid rising cost of living pressures. Citing the announcement that RON95 would be priced at RM1.99 per litre once the targeted subsidy takes effect, Sivamurugan said it demonstrated that the Prime Minister had delivered on one of his promises. 'If we look at the Prime Minister's social media branding prior to the announcement, it clearly hinted at the petrol price that the public had been eagerly awaiting. 'It might seem like a small decrease but it has a big impact because he is fulfilling a promise the people have been waiting for,' he said. Sivamurugan said the government's ability to meet the people's immediate needs while maintaining sound fiscal management showed an inclusive approach prioritising public well-being without undermining the country's financial position. --BERNAMA BERNAMA provides up-to-date authentic and comprehensive news and information which are disseminated via BERNAMA Wires; BERNAMA TV on Astro 502, unifi TV 631 and MYTV 121 channels and BERNAMA Radio on FM93.9 (Klang Valley), FM107.5 (Johor Bahru), FM107.9 (Kota Kinabalu) and FM100.9 (Kuching) frequencies. Follow us on social media : Facebook : @bernamaofficial, @bernamatv, @bernamaradio Twitter : @ @BernamaTV, @bernamaradio Instagram : @bernamaofficial, @bernamatvofficial, @bernamaradioofficial TikTok : @bernamaofficial
New Straits Times
4 hours ago
- New Straits Times
Academic: Economic growth must bring tangible benefits to people
KOTA KINABALU: The country's positive economic figures must be translated into tangible benefits for the people, said Sabah Universiti Teknologi Mara senior lecturer Dr Jain Yassin. "This growth for sure strengthens investor confidence, and is good news. "We also welcome the increase in jobs creation, but hope more opportunities will be allocated to Sabah, especially given its higher unemployment rate compared with the national average," said the adviser for the All-Party Parliamentary Group Malaysia-SDG (Sabah Region). He was commenting on Prime Minister Datuk Seri Anwar Ibrahim's annoucement that Malaysia's gross domestic product grew by 4.4 per cent in the first quarter of this year. Anwar said that based on early projections, growth in the second quarter was expected to reach 4.5 per cent. He also said Malaysia recorded its highest-ever approved investments last year, amounting to RM384 billion, a 17 per cent increase from 2023. Anwar, who is also finance minister, said the labour market was improving, with the unemployment rate dropping from 3.9 per cent in 2022 to 3.0 per cent as of May 2025. Over 250,000 new jobs were created between 2023 and 2024. He also announced that the government will accelerate the hiring of over 4,352 healthcare staff, particularly contract doctors, across the country by the end of this year. Jais said the aid for padi and rubber farmers, along with improving access to education, was the right approach for Sabah. "These efforts directly benefit rural communities and are more impactful than financial assistance. "Overall, this reflects a grassroots economic strategy suited to Sabah. "While some initiatives remain macro and peninsula-centric, the focus is moving closer to the people. "We hope the 13th Malaysia Plan will emphasise sustainable strategies to ensure Sabah's long-term economic growth."
