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Najib outlines plan to double GDP by 2030

KUALA LUMPUR — Malaysian Prime Minister Najib Razak yesterday unveiled the 11th Malaysia Plan (11MP), which aims to ensure the country becomes a developed nation by 2020 through the allocation of an RM260 billion (S$96.4 billion) developmental budget — a strategy that was immediately criticised by opposition lawmakers.

Engineers in front of a Tunnel Boring Machine, which was used in the construction of the Klang Valley Mass Rapid Transit (MRT) line. Major projects covered in 11MP include the MRT and Third Light Rail Transit. Photo: The Malay Mail

Engineers in front of a Tunnel Boring Machine, which was used in the construction of the Klang Valley Mass Rapid Transit (MRT) line. Major projects covered in 11MP include the MRT and Third Light Rail Transit. Photo: The Malay Mail

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KUALA LUMPUR — Malaysian Prime Minister Najib Razak yesterday unveiled the 11th Malaysia Plan (11MP), which aims to ensure the country becomes a developed nation by 2020 through the allocation of an RM260 billion (S$96.4 billion) developmental budget — a strategy that was immediately criticised by opposition lawmakers.

Under 11MP, which will cover the period from next year to 2020, Malaysia will become a developed country with a per capita income of US$15,000 (S$20,000). The plan aims to eradicate hard-core poverty and ensure 45 per cent of the population are in the middle class, among other goals.

The economic strategy document, tabled in parliament yesterday by Mr Najib, also looks forward to the post-2020 period, pledging to raise gross domestic product (GDP) from RM1.4 trillion in 2020 to RM2.6 trillion by 2030. The government will seek to push up GDP per capita from RM54,890 in 2020 to RM117,260 in 2030.

Opposition leader Anwar Ibrahim urged the government yesterday to first resolve financial mismanagement of state investment vehicle 1 Malaysia Development Berhad (1MDB) and the rising costs of living as a result of the Goods and Services Tax (GST), before proceeding with 11MP.

“Our focus now must be towards fighting for the rights of the people by protesting against the rising cost of goods, especially because of the implementation of GST that is making the poor suffer,” said Anwar, husband of parliamentary opposition leader Wan Azizah Wan Ismail in a statement as related by his daughter Nurul Izzah Anwar. The opposition leader is serving a five-year jail term for a sodomy conviction in February.

1MDB has run into losses of aboutRM42 billion, while GST introduced on April 1 has caused growing resentment against the government.

Opposition lawmaker Liew Chin Tong of the Democratic Action Party yesterday added that the government’s RM260 billion allocation for 11MP is “grossly inadequate”, as funds would be locked for the running of the federal government.

“As far as fiscal allocation is concerned, I wish to caution the nation not to expect too much from the plan as there is very little money in it,” he said in a statement.

Mr Liew added that Putrajaya had allocated RM220 billion for the ninth Malaysia Plan (2006-2010), while RM249.2 billion had been spent for development under the 10th Malaysia Plan (2011-2015).

If inflation is factored in, it would be “quite clear” that the government’s funds allocated for development, at RM260 billion, have actually declined, he said.

Other measures under 11MP include the government’s pledge to build 47,000 homes for poor households and 606,000 homes for low- and middle-income earners under a “one house per household” pledge.

Among the major infrastructure projects covered in the plan are the Kuala Lumpur-Singapore High Speed Rail, Mass Rapid Transit and Third Light Rail Transit developments in the Klang Valley.

The average household income of the bottom 40 per cent of the population, currently numbering 2.7 million households, will be raised from less than RM2,500 to more than RM5,000 a month by 2020.

Last year, Malaysia registered 6 per cent economic growth and GDP per capita of US$10,796. AGENCIES

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