PRIORITY FOR DEVELOPMENT OF SKILLED MANPOWER EXPECTED IN BUDGET 2011

KUALA LUMPUR, Oct 9 (Bernama) -- The Malaysian government is expected to give priority to the development of skilled manpower under Budget 2011 in line with the effort to become a high income nation by 2020.

Economic analyst Mohd Salleh Abdul Majid said the government should
give priority to development of the human model which involved 25 per cent of
the nation's workforce to support growth.

"We see the developed countries giving emphasis to the development of
skilled manpower and spending 60 per cent of their budgets on it while we are
using only 10 per cent," he said when met at the National Chamber of Commerce
and Industry of Malaysia (NCCIM) Hari Raya gathering here Saturday.

Mohd Salleh, who is former chairman of the Kuala Lumpur Stock Exchange, said
the coming budget was important because next year marked the first year of
implementation for the 10th Malaysia Plan and National Key Economic Areas
(NKEAs).

"Next year will see the government's effort in controlling spending and at
the same time, reducing the deficit to a satisfactory level," he said.

Mohd Salleh said although in its policy, the government will contribute
eight per cent for the 131 entry point projects (EPPs), indirectly the
government will provide 30 per cent through the government-linked companies
(GLCs).

"Planning should look at a suitable strategy to implement the NKEAs so that
the objective to achieve high income nation status can be achieved," he said.

On the goods and services tax (GST), Mohd Salleh said now was not a suitable
time to introduce it.

"The public needs to understand the GST fully before its implementation.
Even if implemented, the GST will not bring much income to the government," he
said.

-- BERNAMA