Bayan lepas: The implementation of the 13th Malaysia Plan (13MP) emphasises reducing the development gap between states through a more balanced distribution of development expenditure (DE). Finance Minister II Datuk Seri Amir Hamzah Azizan stated that the federal government will ensure that all states receive appropriate development allocations to spur regional economic growth, in line with the 13MP’s roadmap approved in the Dewan Rakyat on August 25.

According to BERNAMA News Agency, Amir Hamzah underscored the importance of addressing inter-regional disparities as part of the improvements in the 13MP. He noted that the federal government aims to optimise the use of basic DE by ensuring that it is allocated to all states to stimulate economic growth. The introduction of new incentive programmes will offer greater incentives to those investing in sectors crucial for Malaysia but located in less developed regions.

Amir Hamzah made these remarks at a press conference following the Post-13MP Engagement Session for the Northern Zone at the Setia Spice Convention Centre. He also highlighted that the DE allocation will focus on six less developed states, namely Kedah, Kelantan, Perlis, Sabah, Sarawak, and Terengganu. All projects approved under the 12th Malaysia Plan (12MP) will proceed, with new development projects selected based on data, people’s needs, and state priorities to ensure inclusivity and sustainability.

The government plans to introduce a more structured incentive package, coordinated across agencies like the Malaysian Investment Development Authority (MIDA), the Ministry of Finance, and the Malaysia Digital Economy Corporation (MDEC). Amir Hamzah expressed the desire to consolidate incentives into a single framework to make Malaysia’s economic direction clear to investors. Emphasis will be placed on projects in prioritized areas, with incentives focused on narrowing existing gaps and enhancing economic diversity.

The 13MP is built on four main pillars: enhancing economic diversity, improving social mobility, accelerating public service reform, and enhancing people’s well-being and environmental sustainability. These pillars are supported by 122 strategies, over 600 initiatives, and 162 national key performance indicators to highlight the interconnected nature of development aspects.

For the 13MP period, the government is committed to providing RM611 billion in investments, with RM430 billion in DE from the government, RM120 billion from government-linked companies, and RM61 billion through public-private partnerships. Amir Hamzah described today’s engagement session as a platform to share the country’s development direction for the next five years and a process to ensure the successful implementation of the 13MP’s development blueprint.