Package of Economic Incentives a Timely Move

The package of economic incentives announced by the Deputy Prime Minister and Finance Minister, YAB Dato Sri Najib Tun Razak is indeed a very good and timely move by the government. It reflects the government's seriousness in cushioning the impact of the current global recession. Among the measures announced by YAB Dato Sri Najib is a relook at incentives to attract foreign investments. As part of the package, I urged the government to relax, if not abolish, the Foreign Investment Committee guidelines. Other countries have opened up their countries to attract FDIs and we should look at removing any requirements that can be viewed as obstruction or hindrances by foreign investors. Also, I urge the government to seriously introduce further measures to expedite the approval of licenses for the setting up of new businesses by both domestic and foreign investors as well as work permits for expatriates to work in Malaysia.

Furthermore, the government should also look at removing the Bumi quota for housing projects. The quota increases cost and delay in implementation of housing projects. The 30% quota for companies that which to be listed on Bursa Malaysia should also be abolished. The quota is not consistent with global developments and it will push companies to chose to be listed on other regional bourses instead of Bursa Malaysia.