THE services sector is overtaking manufacturing as the main contributor to economic growth. This will have vast implications on where people are going to find work and what skills they will need to get employed.
The government’s growth target is very clear: To become a developed nation by 2020. Using a World Bank definition, that means having a per capita income of RM49,500 (US$15,000) by the end of the decade. The per capita income level in 2010 was RM23,100 (US$7,000).This is an ambitious target and requires gross domestic product (GDP) growth of at least 7 per cent per year.
Historically, the country’s growth had been led by manufacturing. But when the government reviewed its economic policy last year, it realised that this may not be the case for much longer.
For two reasons. In developed economies, the services sector is usually the biggest contributor to economic output.
Last year,...
Read MoreTag Archives: automotive
June 23, 2015 , by admin2
Services sector is new engine of growth
by: Dato’ Sri Mustapa Mohamed
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0 Comments June 23, 2015 , by admin2
TRADE Ministers from 153 World Trade Organisation (WTO) countries met in Geneva last week to discuss multilateral trade issues. But most will remember this as the year Russia concluded its 18-year marathon negotiations and joined the world organisation.Three other countries – Vanuatu, Samoa and Montenegro – also joined the WTO, bringing its coverage of world trade to 97%.
This is all for the good because greater inclusiveness means more countries will come under the trading guidelines of a common multilateral trading system.
For Malaysia, Russia’s accession would increase stability and openness in its domestic business environment and this will be good for our exporters. Our main exports to the Russian Federation are palm oil, electronics and electrical goods, iron and steel and rubber products.I had the privilege of chairing one of the plenary sessions as well as two working sessions – Trade and Development and the Doha Round of negotiations. I also chaired the Islamic...
Read MoreJune 23, 2015 , by admin2
Passenger cars prices in Malaysia have always been perceived to be higher than those sold in the neighbouring ASEAN countries. “Undeniably, at a first glance of the sales prices comparisons of popular models the claim appeared to be true, except when compared to prices in Singapore, said Madani Sahari, CEO of the Malaysia Automotive Institute (MAI)”
Madani further elaborated that MAI has done comparative analysis of these popular models within the ASEAN countries.
The price of Honda City and Toyota Vios of the 1500cc segment sold in Thailand are the cheapest in ASEAN, lower by 40% on average of the sales price in Malaysia. Similarly, the prices of these two marques in Philippines, Indonesia and Vietnam are also lower by 32%, 2% and 1.8% on average respectively.
Within the 1800 cc segment, the price of Honda Civic cheapest in Philippines, lower by 43%, while the prices of the model in Thailand and Vietnam are lower by 35% and 5% on average respectively. However, the price of...
Read MoreJune 17, 2015 , by admin2
KUALA LUMPUR, March 24 (Bernama) — Malaysia is on course to achieve total trade growth of between five-six per cent in 2014, says International Trade and Industry Minister Datuk Seri Mustapa Mohamed.
He said broad recovery was seen in electrical and electronics exports while the trade surplus had become healthier in the first two months of 2014.
“We have done well in the first two months. The performance has exceeded that of the same period last year,” he added.
Mustapa was speaking to reporters after the launch of a book by former Deputy Prime Minister Tun Musa Hitam here Monday.
The book, 21st Century Economics in the Muslim World, is a compilation of views on current economic issues of special interest to those following developments in the Muslim world.
Malaysia’s trade in 2013 expanded by 4.6 per cent to RM1.36 trillion from RM1.309 trillion in 2012, boosted by a better export performance.
The trade surplus last year amounted to RM70.63 billion. It was the 16th...
Read MoreJune 16, 2015 , by admin2
CYBERJAYA, Dec 16 (Bernama) — To remain relevant in the automotive industry in Malaysia and globally, local automotive players have no other alternatives but to strive and achieve the highest possible competitive ability, said Minister of International Trade and Industry, Datuk Seri Mustapa Mohamed.
He said Malaysia’s automotive industry is now facing tremendous challenges due to the continuous changes in market trends, high demand for automotive safety regulations, pressure on environmental policies and demand for lower cost of mobility.
“More critical is the stiff competition between automotive manufacturers in capturing market dominance. It is quite clear that with a combination of successful partnerships between the government and industry, the benefits are mutually exclusive.
“I would like to call upon the industry players to support all training endeavours especially in providing on-the-job training for our new graduate and undergraduate students,” he said in his...
Read MoreJune 16, 2015 , by admin2
KUALA LUMPUR, Jan 30 (Bernama) — The government will establish an automotive council within two months to provide a platform for policy makers to interact with industry players.
Chaired by Minister of International Trade and Investment Datuk Seri Mustapa Mohamed, the council will consist representatives from the government and business community, as well as, non-government organisations representing consumers.
“The council will provide a platform for policy makers to interact so that we can have inputs from the industry and have clear directions as to which way the automotive industry will move,” Mustapa told reporters during the National Automotive Policy (NAP) 2014 update here Friday.
Saying that the council would probaby hold its first meeting end of march, he added that the automotive sector was an important to the economy as more than 500,000 people are employed and involved in the industry.
“It is in many ways, the pulse of the nation’s economy,” he said.
In...
Read MoreJune 15, 2015 , by admin2
KUALA LUMPUR: The International Trade and Industry Ministry is organising the Malaysia Entrepreneurship Forum 2015 (MEF) for local entrepreneurs seeking to grow their businesses.
To be held at the Matrade Exhibition and Convention Centre on Thursday, the forum is aimed at providing information about government efforts to help entrepreneurs go global.
It will also feature successful entrepreneurs such as Cliff Ink Sdn Bhd’s Michelle Lau Sook Yee and Habibul Ajmi Manggar from Perniagaan Orang Kampung Sdn Bhd, who will share their experiences.
Other entrepreneurs include Datin Nor Azlin Abdul Jalil from Pearl Haya Sdn Bhd, Razi Yahaya from Rocksoft Sdn Bhd, B.J. Tan from Jeenhuat Foodstuffs Industries Sdn Bhd, and Asyraf Abdul Rahman from Autokeen Sdn Bhd.
The forum will be launched by International Trade and Industry Minister Datuk Seri Mustapa Mohamed, who will also take part in a special segment called “Bicara Bersama Menteri”.
The segment will be moderated by renowned... Read More