12th M’sia Plan aims to spur, optimise growth in regional economies

THE potential of regional economies will be optimised to spur economic growth and address inter and intra regional imbalances.

According to the 12th Malaysia Plan (12MP) document released by Economic Planning Unit (EPU), initiatives would focus on accelerating development based on key growth “nodes” and hotspot areas, attracting quality investment, improving the business ecosystem, and enhancing strategic collaboration and coordination.

The government will also enhance cooperation under the Indonesia–Malaysia–Thailand Growth Triangle (IMT-GT) as well as the Brunei Darussalam Indonesia-Malaysia- Philippines East Asean Growth Area (BIMPEAGA).

“These (growth areas) are crucial in reducing socioeconomic gaps across regions and states to enable a more balanced and inclusive regional development,” said the document.

Several niche economic activities will be promoted in key growth nodes and hotspot areas, where the areas will be developed in each region as hubs for economic activities, according to the plan. States would also continue to play an important role in socio-economic development to achieve more balanced and inclusive growth.

“The development of new townships led by the private sector, including Setia Fontaines in Penang, as well as Seriemas in Ampangan and Rantau in Negeri Sembilan, is expected to provide additional job and business opportunities,” it said.

Industry players, especially micro, small and medium enterprises (MSMEs) in the key growth nodes and hotspot areas will be encouraged to move up the value chain and participate in high value-added activities.