KUALA LUMPUR, Mar 10, 2009 (Xinhua via COMTEX News Network) — Malaysian manufacturers Tuesday said that the country’s second economic stimulus package would achieve its desired objectives if the measures are implemented immediately and the projects identified are fast- tracked.
“The announcement of the 60 billion ringgit (16.2 billion U.S. dollars) economic stimulus package is timely given the deterioration in the international economic environment and its impact on the Malaysian economy,” said the Federation of Malaysian Manufacturers (FMM).
The Project Management Unit of the Finance Ministry, in collaboration with relevant agencies, need to ensure that funds were disbursed quickly to the agencies so that the impact of the stimulus package could be felt, the FMM said in a press release.
“FMM strongly supports the use of electronic procurement to enhance transparency and the preference given to local materials, products and services. The Project Management Unit should closely monitor the implementation of these projects,” it said.
The private sector should be given a more active and collaborative role in expediting the implementation of some of the projects identified in the stimulus package, said the federation representing manufacturers in the country.
Given that the demand for exports has declined significantly in recent months, the FMM hoped that the stimulus package would contain specific measures to boost exports.
Malaysian Deputy Prime Minister Najib Tun Razak unveiled a 60 billion ringgit (16.2 billion U.S.dollars) stimulus package in the parliament here Tuesday afternoon to spur the country’s economic activity and help keep the economy from slipping into recession.
This was the second economic stimulus package introduced by the Malaysian government since November last year.
The newly-unveiled pro-growth package included a fiscal injection of 15 billion ringgit, 25 billion ringgit as guarantee funds, 10 billion ringgit as equity investment, 7 billion ringgit private finance initiative and off-budget projects, and 3 billion in tax incentives.
Copyright 2009 XINHUA NEWS AGENCY.