Media Statement on Budget 2019

KUALA LUMPUR, 2 Nov 2018 - The Budget 2019 takes a comprehensive approach in striking a balance for businesses to prosper whilst formulating programmes to drive sustained and inclusive growth for the nation.

Tabled by Finance Minister Lim Guan Eng, Budget 2019 also sees a concerted effort by the Government to advance the small and medium enterprises (SMEs) sector, having announced measures to improve access to financing and accelerate the sector’s adoption of Industry 4.0.

“Today’s Budget 2019 announcement demonstrates Malaysia’s clear intent to create a thriving business environment. The move to transform and modernise the SME sector, set up a special task force to improve the ease of doing business here and its competitiveness in the global arena, gives a clear signal that Malaysia is indeed open for business,” Mohd Yazid Ja’afar, deputy chief executive officer at Malaysia Petroleum Resources Corporation said.

The Budget announcement for SMEs also comes at a time when global oil and gas industry is stepping up development activities.

“We therefore urge OGSE SMEs to leverage on these incentives to tap into the upsurge in oil and gas activities and realise their internationalisation aspirations. MPRC is committed to implementing initiatives that will support the rise of Malaysian OGSE firms onto the global stage,” he said.

Budget 2019 also saw the allocation of RM2 billion under Business Loan Guarantee Scheme (SJPP) where the Government will provide guarantees of up to 70% for SMEs that invest in automation and modernisation which forms part of the Industry 4.0. as well as the RM3 billion Industry Digitalisation Transformation Fund.

The emphasis on enabling SMEs in the digital economy, encouraging industry university-research collaborations and accelerating their adoption of technology will go a long way to future-proof the backbone of the Malaysian economy.

In delivering our mandate to make Malaysia as the top OGSE hub in the Asia Pacific region, MPRC will continue to work closely with the relevant Government agencies, our stakeholders and other industry players to ensure effective implementation of the measures.