Kuala lumpur: The 13th Malaysia Plan (13MP), which aims to drive sustainable growth based on value creation across all sectors, involves RM611 billion in investments to ensure the success of the five-year plan, with RM430 billion being the government’s development allocation. Prime Minister Datuk Seri Anwar Ibrahim said the 13MP also focuses on artificial intelligence and an emphasis on the ‘Made in Malaysia’ initiative to position the country as a globally competitive and high-income nation.
According to BERNAMA News Agency, Anwar, who is also Finance Minister, stated that the five-year roadmap is a continuation of the MADANI Economy policy. It aims to boost the country’s economic growth, improve the people’s standard of living, and enhance service delivery for optimal governance. He emphasized the need for economic growth through value creation, moving beyond reliance on basic materials in the agricultural, industrial, and service sectors.
Anwar highlighted that GDP growth and expansion would only be meaningful if the people’s freedom and dignity are prioritized over hunger, injustice, and marginalization. Malaysia’s GDP growth is projected to grow at a rate of 4.5 to 5.5 percent per year over the five-year period, driven by domestic demand, especially private consumption and investment.
He noted that gross exports are expected to increase by 5.8 percent per year with expanded trade opportunities, and the services, manufacturing, and construction sectors will lead growth through a transition to an economy based on value creation. The federal government’s fiscal deficit is anticipated to decrease to below three percent of GDP, with the government debt level remaining under 60 percent of GDP.
The gross national income (GNI) per capita is targeted to rise to RM77,200, surpassing the threshold for a high-income country. The labor market is expected to improve, with workers’ compensation to GDP reaching 40 percent and unemployment projected to reach full employment by 2030. The average inflation rate is expected to remain stable between two to three percent per year.
Regarding the RM611 billion investment, the government’s development allocation is estimated at RM430 billion. Funding from government-linked companies (GLCs) and government-linked investment companies (GLICs) will total RM120 billion, supporting economic growth through domestic direct investment in strategic sectors. Support from the private sector via the public-private partnership (PPP) method stands at RM61 billion.
Of the RM430 billion allocation, over half, or RM227 billion, will be directed to the economic sector as a growth pillar. Additionally, the social sector is prioritized with RM133 billion allocated, including RM67 billion for education, RM40 billion for health, RM51 billion for security, and RM17 billion for administration.
Anwar elaborated on the ‘Made by Malaysia’ initiative, aiming for Malaysia to be a leading economy in Asia, recognized for its unique identity rooted in Eastern cultural wisdom. The country aspires to be a high-income nation and among the world’s 30 major economies by 2030, necessitating a shift towards an innovation-driven economy.
The plan includes transforming Malaysia into a technology leader and producer of world-class ‘Made by Malaysia’ products and services. Malaysia aims to lead the Southeast Asian economy in artificial intelligence (AI), digital technology, and renewable energy, striving to become an influential player globally.
Anwar stated that local technological innovations will be prioritized to promote economic growth, particularly in developing strategic digital assets like AI, data analytics, and government digital systems. Research, development, commercialization, and innovation (RDCI) activities will be intensified to enhance ‘Made by Malaysia’ products and services.