NAJIB CAPABLE OF STEERING WELL M'SIA'S ECONOMY

KUALA LUMPUR, March 27 (Bernama) -- Deputy Prime Minister Najib
Razak, who is set to take over Malaysia's leadership soon, is capable of
steering Malaysia through the ongoing global economic crisis and achieving
stronger growth in the process.

"Based on what I have seen in the last few weeks, including the Mini Budget,
I have great hopes that he would be able to handle and bring Malaysia to a much
higher level of economic growth," the Director General of the Institute of
Strategic and International Studies (ISIS), Dr Mahani Zainal Abidin, said.

She said this following a media briefing on the findings of the "2009
UN-United Nations Economic and Social Commission for Asia and the Pacific's
(UNESCAP) Economic and Social Survey of Asia and the Pacific," here Thursday.

Najib in his capacity as Finance Minister had recently tabled the country's
second economic stimulus package worth RM60 billion (US$1=RM3.66) to be
implemented this year and 2010.

Such a move has never been implemented in the country's economic history,
with RM15 billion as fiscal injection, RM25 billion in credit guarantee fund,
RM10 billion for equity investment and RM7 billion for private finance
initiative and the proposal of an off-budget.

He had also recently announced that Malaysia would use the current economic
downturn period as a stepping stone for the formation of a new economic model
with knowledge as the driving force.

The country will invest in education and technology as well as strengthen
its capacities to venture into the information technology sector, renewable
energy and emerging economies, he had said.

Dr Mahani said Najib's determination has been strong in launching the new
programmes and introducing stronger implementation systems, while bringing forth
the necessary ideas for the creation of a more competitive economy.

"These are signs reflecting his determination to overcome our economic
problems," he said.

She said with his background in economy, Najib will be able to further
accept and understand the economic challenges facing the country.

Dr Mahani was also of the opinion that Najib would continue to advocate,
through liberalisation, a more competitive economy.

Najib recently announced that the government will fine-tune the proposal on
liberalising the services sector, an area considered important in the efforts to
drive greater economic growth for the country.

He had said a Cabinet committee will be formed to look into the
liberalisation of the sector.

He had also said that the government was hoping to expand the country's
services sector so that it would be able to contribute up to 70 percent to the
Gross Domestic Product (GDP) like how it was in the developed countries.

"I believe this move will be in line with what is happening in the global
level where we will have to further strengthen the tie between Malaysia
and the global economy and one way will be to ensure that we are operating in a
more effective manner," Dr Mahani said.

She also suggested a system that will be more liberal and responsive to
price fluctuations and also hoped that Najib would have a more open economy not
only externally but also domestic wise.

"For example, paying attention to price control systems in the country," she
added.

-- BERNAMA