2018 Budget expected to bring in RM350b worth of construction projects: MBAM

KUALA LUMPUR: Construction projects worth RM350 billion are expected to come onstream over the next two to three years with the announcement of Budget 2018.
Master Builders Association Malaysia (MBAM) president, Foo Chek Lee said outstanding projects in the construction industry are estimated to be worth at least RM138 billion currently.
He said while Budget 2018 did not specifically mention allocations for the construction industry, the government had allocated RM2.2 billion for public housing projects such as 1Malaysia People's Housing Programme (PR1MA).
"Affordable housing projects under Budget 2018 like PR1MA, apart from rail transportation projects such as Mass Rapid Transit Line 3 or Circle Line, among others, will definitely spur the construction industry in Malaysia and stimulate economic growth," he told a press conference on the sidelines of the MBAM Building and Construction Conference 2017 here, today.
Also present were Construction Industry Development Board (CIDB) chairman, Tan Sri Dr Ir Ahmad Tajuddin Ali and Eversendai Corporation Bhd executive chairman and group managing director, Tan Sri A. K. Nathan.
Earlier, Ahmad Tajuddin in his opening speech lauded the government for stepping up measures by making it mandatory for all private projects to use industrialised building system (IBS) for projects valued at RM50 million or more in three years' time.
"By declaring this new mandate in advance, industry players can prepare themselves to meet the deadline by developing or acquiring the necessary skills and resources to embrace the technology," he said.
Ahmad Tajuddin added that the target had also been set as one of the key performance indicators under the productivity thrust of the Construction Industry Transformation Programme 2016-2020.
On another note, Foo in his welcoming speech hoped the government would offer incentives to industry players who use IBS and Building Information Modelling (BIM).
"We also hope that the government will support us in our efforts by providing a subsidy for companies to adopt BIM.
"I believe through everyone's effort, the implementation of IBS can run smoothly. With the effective implementation of IBS products, it will not only reduce the usage of building materials that are inflicting the environment, but can also lead to reducing our dependency on foreign workers," he said.
BIM is a process of creating and managing all of the information related to a construction project and producing it in a three-dimensional model, making it possible to integrate different aspects of the design more effectively, while reducing costly mistakes and discrepancies.
Themed "Technology Advancement with Stakeholders Collaboration," the three-day conference beginning today was co-organised by MBAM and CIDB to highlight issues, challenges, as well as the latest developments in the construction industry. — Bernama