NKEA NOT A MOVE TO BUILD A COMMAND ECONOMY, SAYS MALAYSIAN PM NAJIB

KUALA LUMPUR, Sept 28 (Bernama) -- Specific steps in the National Key
Economic Area (NKEA) is not a move to build a command economy but a partnership
between the public and private sectors in driving the country's future growth,
says Malaysian Prime Minister Najib Tun Razak.

"Some may be surprised by how specific these NKEAs are. But I must emphasise
that this is by no means a move to build a command economy.

"Rather, it is a collaborative effort-between the public and private sectors
to build an ecosystem which will drive economies of scale while building a
critical mass of knowledge-intensive value-added industries," he said at the
Invest Asia 2010 Forum organised by the International Herald Tribune (IHT) here
Tuesday.

His keynote address was read by Deputy Prime Minister Muhyiddin
Yassin.

Najib said the NKEAs provided the greatest opportunity to enhance Malaysia's
global competitiveness and closely align with high income, sustainability
and inclusiveness goals.

"In many ways, attracting higher quality investment is even more
important than attracting greater quantities of it.

"This is why the New Economic Model (NEM) places an unique focus on
high-values services, technology and innovation, with the expectation that this
will create greater long-term economic opportunities," he explained.

The prime minister said that the foreign direct investment (FDI) will also
be the key element for the country's success, especially on the back of an
increasingly competitive global economy.


He said there has been some good results with major global corporations
including Coca-Cola, Exxon and the Industrial and Commercial Bank of China
having announced new investments in Malaysia.

"With the new initiatives, the role of private investment substantially
increases with the government enhancing its role as a facilitator of private
sector-led growth.

"While we've made a compelling case for why the private sector should drive
growth, we believe the government will continue to play a critical role in
this process.

"As the saying goes, a plan is only as good as its implementation,"
Najib highlighted.

Simple measures as reducing bureaucracy and the amount of time it takes to
incorporate a new business, building international communities and providing
safety nets for the poor, are things that an effective facilitator must take
into account, he added.

The two-day forum which has 19 internationally renowned speakers sharing
views about alternative investment in Asia, ends Tuesday.

-- BERNAMA