M'SIAN GOVT ANNOUNCES RM7 BIL STIMULUS PACKAGE TO REINFORCE ECONOMY

KUALA LUMPUR, Nov 4 (Bernama) -- The Malaysian Government Tuesday announced a
RM7 billion stimulus package to reinforce the economy, strengthen national
resilience and to maintain economic growth momentum to face the increasingly
challenging global economic climate.

Deputy Prime Minister Najib Razak said measures pronounced in
the package was proof of the government's serious concern for the people's
well-being and to stimulate private sector confidence.

The RM7 billion saved from the fuel subsidy will be channelled to enable
more people to own houses, said Najib, who is also Finance Minister, when
winding up the debate on the 2009 Budget in the Lower House of
Parliament.

To ensure more people can afford to own houses, he said, RM1.2 billion has
been allocated to build 25,000 units of low-and medium-cost houses.

Also, RM500 million has been set aside to upgrade, repair and maintain
police stations, living quarters, army camps and quarters, he said.

Najib also said RM600 million would be channelled to minor projects under
the public and basic infrastructure project maintenance programme.

This include maintaining village roads, building community halls and
small
bridges, he said.

The Deputy Prime Minister said the allocation would help small-time
contractors to address the problem of shortage of construction projects.

He said RM500 million has been apportioned to repair and maintain
public
amenities such as roads, schools and hospitals and another RM500 million
has been sanctioned to build and upgrade roads in rural areas, villages and
agriculture roads including in Sabah and Sarawak.

Najib also said the Gross Domestic Product (GDP) would be revised downwards
to 3.5 percent for 2009 from five percent this year.