M'SIAN PM NAJIB REFUTES WORLD BANK REPORT ON BRAIN DRAIN

PUTRAJAYA, April 29 (Bernama) -- Malaysian Prime Minister Najib Razak has
refuted the World Bank Report which claims that the policy giving priority to
bumiputeras (sons of the soil) has led to the 'brain drain' problem and a drop
in investment flow into the country.

He said that on the other hand, foreign direct investment (FDI) into the
country had increased to RM9 billion (US$3 billion) last year, from RM1.4
billion (US$0.466 billion) in 2009.

"I don't think that is quite correct, but in terms of the brain drain, of
course we have identified it as one of the problems that must be resolved.

"That is why we have set up the 'Talent Corp', and the first step was my
announcement on the matter at Invest Malaysia recently, the provision of the
income tax incentive at the rate of 15 per cent for a period of five years if
they (Malaysian professionals) return to Malaysia.

"This is one of the main initiatives, and there are other initiatives which
had been agreed upon and we will take subsequent measures," he told reporters
after chairing the 11th Meeting of the National Council on Small and Medium
Enterprises, here today.

He said this when asked to comment on the claim by the World Bank report
yesterday which stated that more than one million Malaysian nationals were
working abroad because of the Brain Drain and lack of FDI.

Najib said he was confident that Malaysia would be able to ensure a very
healthy growth in FDI and as well as domestic investment.

"Don't forget, it is not all about FDI but also about domestic investment,
73 percent of our plan involves domestic investment," he said.

He said the major projects under the Economic Transformation Programme (ETP)
which were being implemented would also provide more opportunities to the people
to participate in the country's development.
-- BERNAMA