MYCOID TO REDUCE TIME TO COMMENCE BUSINESS TO THREE DAYS

PUTRAJAYA, Feb 12 (Bernama) -- The initiative to introduce the Malaysian Corporate Identity Number, MyCoID, will play a major role in reducing the time to start up a business based on the World Bank standards from 11 days to three days, said Najib Tun Razak.

The Prime Minister said the initiative was another step forward in raising
Malaysia's ranking in the World Competitive Report.

"This is because one of its categories is the ease of doing business, which
concerns the time required to start a business.

"So, the gateway that we will create which will take about six months, and
the additional allocation that has been announced, it means that by the end of
this year, we will be able to achieve the standard of starting a business within
three days," he told reporters after launching the 'MyCoID, 1 Corporate
Identity', here Thursday.

MyCoID refers to the company number that will be used as a single serial
reference number for various registrations and transactions with the relevant
government agencies.

The five agencies concerned are Inland Revenue Board (IRB), Employees
Provident Fund (EPF), Perbadanan Sumber Manusia Berhad (PSMB) (Human Resource
Corporation), Social Security
Organisation (Socso) and SME Corp Malaysia.

Also present at the launching ceremony was the Minister of Domestic Trade,
Cooperatives and Consumerism, Ismail Sabri Yaakob.

Najib said that with the RM4.5 million (US$1=RM3.4) additional allocation
that had been approved, the development of the gateway at the Companies
Commission of Malaysia
(CCM) would enable simultaneous registration with the five implementing agencies
to be carried out.

"They have achieved one hour for business registration, one day for company
registration, (and) now we want to move towards achieving three days to start a
business.

"If they register with CCM, all the agencies concerned will get the
information on their registration and they can then process their application,"
he said.

Earlier in his speech, Najib said MyCoID was the starting point towards
revolutionising the method of registration involving the various government
agencies for public convenience.

He said transactions for registration and reference at the agencies
concerned would only use one single number which was the company registration
number issued by CCM as the sole reference number.

He said it represented a strategic move towards facilitating business
practices in Malaysia.

"I am confident that the innovative MyCoID will not only facilitate the
people to venture into business, but can also assist towards boosting domestic
business activities which can contribute towards national economic growth," he
said.


Najib said the support given to the Economic Stimulus Package initiative in
terms of the discount given on the fee for company incorporation, sole
proprietorship and partnership registration had resulted in a significant
increase in business registration (sole proprietorship and partnership).

He said the initiative began on April 1 last year and would end on March 31
this year, and the increase in the number of business registration was from
269,866 in 2008 to 312,581 last year, an increase of 16 per cent.

"Although there was a drop in the incorporation of local companies, it was
very minimal, which was only 0.05 per cent which was a reduction from 41,599
companies incorporated in 2008 to 41,578 companies last year," he said.

He described the success as encouraging although the global economic
environment was sluggish last year with a contraction in the gross domestic
product (GDP).

-- BERNAMA