MALAYSIA MUST FOCUS TO TRANSFORM INTO HIGH-INCOME ECONOMY, SAYS NAJIB

KUALA LUMPUR, Oct 23 (Bernama) -- Malaysia must focus on creativity,
innovation and high value-added activities to transform into a high-income
economy and address long-term competitiveness.

Prime Minister Najib Tun Razak said this would prompt the nation
to enhance capabilities in research and development and commercialisation to
realise the aspirations to become an innovation-driven economy.

" We also need to strengthen domestic demand, particularly private
investments and diversify our export markets, besides shifting from relying on
low-skilled foreign labour to high skilled and talented human capital," said
Najib who is also Finance Minister.

To enhance the nation's competitiveness, he said the government was
committed towards further liberalisation and market-driven policies and
greater accountability and transparency.

" To effect these changes, we have to do things differently now. There has
to be a paradigm shift and a change in the mindset," he said in his preface in
the 2009/2010 Economic Report released by the Treasury Friday.

With the improved economy in the second quarter, albeit a slower pace of
contraction at 3.9 per cent, major indicators suggest that the economy was on
track to recovery and is expected to register a smaller decline of three per
cent for 2009.

Najib also said the government was determined to realise the targets set for
the six National Key Result Areas that are of most concern to the people.

Among the targets are crime prevention, combating corruption, widening
access to quality and affordable education, raising the living standards of the
low-income group and improving public transport.

The Prime Minister also reiterated that Malaysians must remain united,
committed and be brave to face any challenges inorder to become a high-income
developed nation.

" The success in charting our economic growth and overcoming previous crises
will not be possible without the support of the people.

" I am confident that 1Malaysia being the bedrock for the government will
galvanise the people to work as a team towards this goal for a better future,"
he added.

-- BERNAMA