GOVT TO EMPHASISE ON DOMESTIC PRIVATE INVESTMENT IN 10TH MSIA PLAN

PUTRAJAYA, March 2 (Bernama) -- The government will emphasise on promoting
more domestic private investments through public-private partnership (PPPs)
under the 10th Malaysia Plan instead of depending on foreign direct investments
to ensure future growth.

Minister in the Prime Minister's Department Nor Mohamed Yakcop said
domestic private companies have upgraded themselves to be at par with the
international standards.

"It's time to provide room and opportunities for local investors to support
sustainable economic growth.

"In encapsulating the policy direction and development priorities for
Malaysia's transformation ahead, the key thrust of the 10th Malaysia Plan will
be to forge effective PPPs," he told reporters after opening a seminar on
"Designing a World-Class Public-Private Partnership Infrastructure and Framework
For Malaysia".

Nor Mohamed said it was a proven fact that private sector involvement often
brought stronger managerial capacity, access to new technology and specialised
skills.

"The country has benefitted from the infusion of these skills, thus
enhancing the country's global competitiveness.

"Therefore, now is the appropriate time to encourage more openings for the
local private sector," he explained.

Nor Mohamed also said infrastructure development was a key component to
unlocking potential economic activities.

"The government will continue to place emphasis on infrastructure
development to propel the country's economic transformation via private sector
participation in PPP policies," he added.

The minister said the country's healthy current account surplus would ensure
there are enough resources to finance a much higher level of private
investments.

He also said a critical component in ensuring the success of PPPs was the
availability and accessibility to financing for private sector
projects.

Meanwhile, Sumitomo Mitsui Banking Corporation hopes to work
together with the Malaysian government to formulate a suitable framework to help
jumpstart PPP activities in the country.

Its Managing Director and Head of Asia Pacific Division Koichi Danno told
the seminar the corporation's vast experience in the field made it an ideal
partner for the government in enhancing the participation of the private sector.

SMBC is a global financial services provider.
-- BERNAMA