Malaysia views global crisis as impetus to reinforce economic resilience through high-value industries, energy transition and inclusive aid, says minister.
PUTRAJAYA: The government views the current global crisis as an impetus to strengthen the country’s economic structure, including a greater focus on high-value industries, the energy transition and a more inclusive approach to delivering public assistance.
Economy Minister Akmal Nasrullah Mohd Nasir said that, unlike the COVID-19 pandemic, which required stimulus spending due to the shutdown of economic activity, the current crisis began with pressure on oil supply before spreading to other sectors, resulting in a more complex economic impact.
“At the time, the focus was on ensuring spending continued because economic activity had been shut down. Now, the crisis we are facing started with pressure on oil supply before spreading to other supply chains.
“The crisis began with imports and related factors, but its economic impact has been much more severe,” he said during his speech at the Ministry of Economy’s monthly gathering here today.
He said the situation has prompted the government to focus on strengthening the country’s economic resilience through more sustainable structural changes.
“Previously, it was very much about incentives, with funds being channelled here and there. But right now, it’s about strengthening our resilience,” he said.
Akmal Nasrullah said the current geopolitical crisis also signals the need to prioritise high-value industries, including the development of the semiconductor sector and advanced packaging.
He said the government is also stepping up efforts to boost household income through the People’s Income Initiative Insan programme, which has so far involved 1,125 vending machines nationwide.
“Of that total, more than half, or 58%, have managed to earn an average income of over RM2,000,” he said, adding that programme participants have recorded cumulative sales of more than RM20 million.
He said collaboration with the Federal Territories Islamic Religious Council (MAIWP) will also be expanded, with about 50 machines to be placed at various of its assets, including mosques, active surau and educational institutions.
Meanwhile, he said the government will introduce biodiesel from June 1 to extend diesel supply by up to 20 days a year, while supporting the energy transition and reducing carbon emissions.
