Latest news with #ZahidIsmail
The Sun
04-08-2025
- Business
- The Sun
Malaysia targets 3.6% annual labour productivity growth under 13MP
KUALA LUMPUR: The Malaysia Productivity Corporation (MPC) has affirmed that the 3.6 per cent annual labour productivity growth target set under the 13th Malaysia Plan (13MP) is realistic but requires coordinated implementation to propel Malaysia into the top 12 of the IMD World Competitiveness Index by 2030. MPC emphasised that boosting labour productivity is crucial for sustainable economic growth, fair wages, and industrial resilience amid rising global cost pressures. 'The surge in global costs, fuelled by supply chain disruptions, labour shortages, and economic restructuring, demands a structured and systemic response,' said MPC director-general Datuk Zahid Ismail. 'Productivity improvement is the most effective way to ensure economic resilience, price stability, and public welfare,' he added in a statement today. To achieve the 13MP target, MPC has launched the Industry-Based Academy Programme to align education with industry needs. It is also developing the National Competitiveness Indicator Tracker, a tool designed to pinpoint policy and regulatory improvements for Malaysia's World Competitiveness Ranking (WCR). 'This strategy, implemented since last year, has already helped Malaysia climb 11 spots to 23rd in the WCR 2025 report,' Zahid noted. The initiative will continue aiding policymakers in making timely and precise improvements to enhance national competitiveness. MPC is also strengthening partnerships with ministries, agencies, and the private sector through PEMUDAH and 14 Productivity Nexus teams. These collaborations aim to ensure productivity initiatives translate into tangible gains, supporting Malaysia's goal of becoming one of the world's 12 most competitive nations by 2030. - Bernama
New Straits Times
22-07-2025
- Business
- New Straits Times
Improvement driven by E&E and reforms
KUALA LUMPUR: Malaysia's rise in the IMD World Competitiveness Ranking 2025 was driven by its electrical and electronics (E&E) sector and regulatory efficiency reforms. The Malaysia Productivity Corporation (MPC) said the improved standing reflects sustained industrial momentum and government-led efforts to create a more business-friendly environment. A key initiative is the Industrial Green Lane (IGL), which expedites development and licensing approvals for industrial projects. "Malaysia's improved competitiveness reflects not just industrial strength, but regulatory transformation on the ground," MPC director-general Datuk Zahid Ismail said in a statement. "Through IGL, we are enabling faster, cleaner and more predictable approvals, essential for investment, productivity and growth." The IGL model streamlines approvals via simultaneous technical briefings, fast-track licence processing and licence issuance within 24 hours of the certificate of completion and compliance. This approach has generated RM0.5 billion in local authority revenue, created 20,000 jobs and facilitated billions in investments. Last year, Malaysia approved RM378.5 billion in total investments, including RM120.5 billion in the manufacturing sector. "The E&E industry led the way with RM55.8 billion, making it the largest sub-sector, supported by 73.8 per cent of foreign direct investment. These outcomes align with the National Semiconductor Strategy and the New Industrial Master Plan," MPC said. However, issues like Customs efficiency, trade transparency and documentation handling remain hurdles to export growth. MPC said reducing non-tariff measures and improving trade facilitation are critical for enhancing export competitiveness. "The E&E Productivity Nexus, alongside national agencies, is addressing these challenges through digital adoption, artificial intelligence and Internet of Things-driven energy efficiency and regulatory coordination. "There is also continued emphasis on helping small and medium enterprises adapt to global standards. The government aims to expand IGL implementation nationwide, improve logistics infrastructure and drive data-driven regulatory reforms."
New Straits Times
21-07-2025
- Business
- New Straits Times
Malaysia rises in IMD rankings, driven by green lane reforms and E&E growth
KUALA LUMPUR: Malaysia has moved up the ranks in the IMD World Competitiveness Ranking (WCR) 2025, driven by its electrical and electronics (E&E) sector and regulatory efficiency reforms. The Malaysia Productivity Corporation (MPC) said the improved standing reflects sustained industrial momentum and government-led efforts to create a more business-friendly environment. A key initiative is the Industrial Green Lane (IGL), which expedites development and licensing approvals for industrial projects. "Malaysia's improved competitiveness reflects not just industrial strength, but regulatory transformation on the ground," Director-General Datuk Zahid Ismail said in a statement. "Through IGL, we are enabling faster, cleaner, and more predictable approvals, essential for investment, productivity, and growth." The IGL model streamlines approvals via simultaneous technical briefings, fast-track licence processing and licence issuance within 24 hours of the certificate of completion and compliance. This approach has so far generated RM0.5 billion in local authority revenue, created 20,000 jobs and facilitated billions in investments. In 2024, Malaysia approved RM378.5 billion in total investments, including RM120.5 billion in the manufacturing sector. "The E&E industry led the way with RM55.8 billion, making it the largest subsector, supported by 73.8 per cent foreign direct investment. "The sector continues to thrive through deeper integration into global semiconductor value chains, creation of high-skilled jobs, and stronger supplier ecosystems. "These outcomes align with the National Semiconductor Strategy and the New Industrial Master Plan," it said. Despite the gains, issues like customs efficiency, trade transparency and documentation handling, highlighted in the WCR 2025, remain hurdles to export growth. MPC noted that reducing non-tariff measures and improving trade facilitation are critical for enhancing Malaysia's export competitiveness. "The E&E Productivity Nexus, alongside national agencies, is addressing these challenges through digital adoption, artificial intelligence and Internet of Things-driven energy efficiency and regulatory coordination," it said. "There is also continued emphasis on helping small and medium enterprises adapt to global standards. The government aims to expand IGL implementation nationwide, improve logistics infrastructure and drive data-driven regulatory reforms," it added.
Barnama
15-07-2025
- Business
- Barnama
Malaysia's Professional Service Records Highest Productivity Since 2020
BUSINESS KUALA LUMPUR, July 15 (Bernama) -- Malaysia's Professional Services sector continues to perform well, recording its highest productivity growth in the past five years, reaching RM94,964 per employee this year, compared to RM89,748 in 2023. The Malaysia Productivity Corporation (MPC), in a statement today, announced that the sector's productivity is now close to the national average of RM100,000, positioning it as one of the key contributors to the country's economic growth. "This achievement demonstrates the effectiveness of the Professional Services Productivity Nexus (PSPN) implementation strategy, which focuses on key subsectors such as legal, finance, engineering, architecture, management and advertising," it said. MPC Director-General Datuk Zahid Ismail said the sector's strong performance reflects the important role of the Professional Services subsector in supporting economic growth, especially through greater digitalisation, workforce skills enhancement and improved regulatory efficiency. "MPC is committed to seeing this subsector not only meet but surpass national productivity benchmarks, becoming a leading example of high-performance practices in the country,' he added. He said the increase in productivity also signalled that Malaysia is on the right track to becoming a regional leader in professional services. Meanwhile, PSPN chairman Ir Choo Kok Beng stated that the positive growth was the result of strong collaboration between the public and private sectors, alongside the contributions of training institutions in providing an ecosystem that encourages innovation and resilient economic development. 'We are confident that this subsector is capable of building a sustainable ecosystem that promotes innovation and supports resilient economic growth,' he said. MPC reiterated its commitment to continue to strengthen the subsector through strategic approaches and targeted interventions so that the professional services sector remains a catalyst for Malaysia's economic sustainability.
New Straits Times
15-07-2025
- Business
- New Straits Times
Professional workers deliver RM95,000 each in 2025, highest in five years
KUALA LUMPUR: Malaysia's professional services sector reached a five-year high in productivity in 2025, with each worker contributing an average of RM94,964, up from RM89,748 in 2023. The Malaysia Productivity Corporation (MPC) said this was the sector's strongest performance since 2020, bringing it close to the national productivity benchmark of RM100,000 per worker. It attributed the improvement to targeted reforms and joint efforts under the Professional Services Productivity Nexus (PSPN), which covers key sub-sectors including law, finance, engineering, architecture, management consulting and advertising. "This achievement is a testament to the strategic interventions we've made across the sector," MPC director general Datuk Zahid Ismail said in a statement today. "The professional services sub-sector plays a critical role in driving the economy. Through greater digitalisation, a highly skilled workforce and regulatory efficiency, Malaysia is well-positioned to become a regional leader in professional services." He said MPC's ambition goes beyond simply meeting the national benchmark, with the goal of making the sector a model for high-productivity practices across the economy. "We're pushing to exceed the RM100,000 per worker benchmark and lead by example," he added. PSPN chairman Choo Kok Beng said the rise in productivity was driven by strong synergies between technology adoption, public-private partnerships and strategic collaboration with training institutions. "We're confident that this sub-sector can create a sustainable ecosystem that fosters innovation and supports long-term economic growth," he added. MPC said it will continue to strengthen the sector through focused planning, policy support and capacity-building initiatives aimed at enhancing Malaysia's global competitiveness. "In the face of intensifying global competition, we remain committed to empowering the professional services sub-sector. This is about building resilience, accelerating innovation, and ensuring that Malaysia's economy is future-ready," Zahid said. The corporation also stressed that sustained productivity gains require a coordinated effort involving industry players, government agencies and training institutions. It added that the professional services sector, as a key pillar in Malaysia's journey toward high-income status, is expected to generate positive spillover effects across the broader economy as it continues to grow.
