PH govt assures continuous, inclusive development

KUALA LUMPUR: The Pakatan Harapan (PH) government will balance economic growth objectives and fiscal consolidation initiatives to ensure continuous and inclusive development without impairing growth prospects.
In his preface to the Mid-Term Review of the Eleventh Malaysia Plan, 2016-2020: New Priorities and Emphases report, Economic Affairs Minister Mohamed Azmin Ali (pix) said this would ensure high-impact socio-economic development projects continue to improve the well-being of the people.
The report was presented today by Prime Minister Tun Dr Mahathir Mohamad in Parliament,
"The existing development gaps between states would be narrowed by giving greater emphasis to the less developed states, particularly Sabah, Sarawak, Kelantan, Terengganu, Kedah, and Perlis to ensure a more balanced regional growth.
"More measures will also be undertaken to raise the income and purchasing power of the people, especially the bottom-40% household income group," he said.
Moving forward, Azmin said the country needed to be vigilant about risks in the face of potential shocks and global economic uncertainties such as the build-up of financial vulnerabilities, trade protectionism and geopolitical tensions.
The minister said these risks and challenges underlined the importance of having flexible economic policies, strong public finance management and a sustainable fiscal position.
He pointed out that macroeconomic policies needed to be calibrated to respond to economic shocks, as well as to enhance economic resilience.
"Nonetheless, some temporary trade-offs on economic growth may be necessary in the short term in order to ensure a firmer foundation for a more sustainable and inclusive growth in the long term," he said.
The first part of the mid-term review assesses the performance of the first two years of the 11MP, from 2016-2017 under the Barisan Nasional government, while the second part of the review sets new priorities and emphasis in building the nation to fulfill the hopes of the people for the remaining period of 2018-2020 under the PH government.
Azmin said based on the principles of good governance, strong institutions and integrity, the priority areas and strategies in the review reflected the government's aspirations.
"These efforts affirm the goal of becoming a developed and inclusive nation, as well as creating the path towards a better future," he added.
The review outlines six pillars to support inclusive growth and sustainable development.
They are reforming governance towards greater transparency and enhance the efficiency of public services; enhancing inclusive development and the people's wellbeing; pursuing balanced regional development.
The others are empowering human capital; enhancing environmental sustainability through green growth; and laying the foundation to strengthen economic growth across all sectors of the economy.