PUTRAJAYA (July 9): The implementation of "Madani Economy: Empowering the People" and several new policies that were first introduced last year have begun to bear fruit since the beginning of this year, said Prime Minister Datuk Seri Anwar Ibrahim.

Anwar, who is also finance minister, said several policy reforms including the government's efforts, have partially begun to bear fruit and this is evidenced by some positive achievements in economic indicators such as higher gross domestic product growth for the first quarter of 2024 at 4.2% compared to 3% for the fourth quarter of 2023.

Anwar said global rating agencies S&P Global Ratings and Fitch Ratings have also maintained Malaysia's sovereign credit rating at A- and BBB+ respectively with a "stable" outlook.

“[Among other achievements are] the recovery of goods exports with a 5.2% growth in the first quarter of 2024 compared to an 8.1% contraction for 2023; the level of Bursa Malaysia’s FBM KLCI exceeding 1,600 points and achieving a historic milestone of surpassing market capitalisation of RM2 trillion this year.

"The highest achievement with direct investment approved in 2023 was RM329.5 billion or 23% higher compared to 2022," he said during the Budget 2025 Engagement Session here on Tuesday.

He said that last year several new policies and targets were introduced including the New Industrial Master Plan 2030 (NIMP 2030), the National Energy Transition Roadmap, the Mid-Term Review of the 12th Malaysia Plan and the National Semiconductor Strategy (NSS).

Anwar said that even though the economic indicators are starting to show positive achievements, he admitted that there is still room for improvement.

"Last year, as I emphasised, we launched the Madani Economy to empower the people, as the main basis for bringing about change, but of course it is also necessary as a justification to correct the country's structural problems.

"So several measures have been taken such as the Fiscal Responsibility Act, amendments to the increased role for the heads of the national audit to monitor the finances and continuous measures to improve governance," he said.

He said that in order to continue to empower Malaysia's economy, the government has joined several economic alliances with other countries, including the Asia-Pacific Economic Cooperation (Apec); The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP); Free Trade Agreement (FTA); and European Union FTAs.

"We have also agreed to look at the possibility of joining the BRICS member countries [Brazil, Russia, India, China and South Africa] and also to consider the possibility of joining the OECD [Organisation for Economic Co-operation and Development].

"This is to open the best possible space for entrepreneurs, traders, investors from inside and outside to benefit from the available facilities," he said.

Uploaded by Felyx Teoh