The government is continuously striving to ensure balanced development is implemented across region and states, including Perlis, Kedah, Kelantan and Terengganu, which are collectively known as State Government 4 (SG4).
According to the Economy Ministry, the government guarantees it will continue to develop and improve the provision of comprehensive basic infrastructure, including the SG4, to achieve regional balance through fair and equitable development expenditure allocation.
“Under the 5-Year Rolling Plan 2025, these states have been allocated a development fund of RM7.92 billion for the implementation of development projects under various ministries,” the ministry stated.
In line with the strategies outlined in the 12th Malaysia Plan, efforts to attract quality investment through the implementation of high-value-added projects – with a focus on technology, automation and innovation – will continue to be intensified.
In addition, several key development projects are currently underway in these states, including Kedah’s Sungai Kedah/Sungai Anak Bukit Flood Mitigation Plan and the construction of the new Kuala Terengganu Bypass road.
The government has also provided development allocations to economic corridor authorities for 2025, including the East Coast Economic Region Development Council (RM226.65 million), the Northern Corridor Implementation Authority (RM238.45 million) and the Iskandar Regional Development Authority (RM121.57 million).
Additionally, the Sabah Economic Development and Investment Authority has been allocated RM52.82 million and the Regional Corridor Development Authority has been allocated RM240 million.
At the same time, the government is also aiming to align its real economy with ongoing developments in the capital market as the nation reinvents its economic framework.
On this, Finance Minister II Datuk Seri Amir Hamzah Azizan said that the country is working to elevate its industries to foster wealth creation to ensure a more equitable distribution of prosperity across society and promote growth across the diverse economic sectors to propel the nation forward.
“What’s critical for the capital market is its role in facilitating growth – providing businesses with the capital they need to expand, opening up opportunities across various market segments and accelerating economic progress for Malaysians,” he said.
Amir Hamzah also noted that Malaysia’s economy has been performing well this year, with growth averaging 5.2% over the first three quarters.
Additionally, Amir Hamzah emphasised Malaysia’s position as a major beneficiary of global supply chain disruptions, particularly due to its strong presence in the electrical and electronics (E&E) sector.
He noted that Malaysia accounts for approximately7% of global trade in E&E and 17% of the global semiconductor market, with a focus on creating a robust ecosystem to attract and retain multinational corporations.
“The goal is to ensure Malaysia remains a comfortable choice for these companies by building a skilled talent pool, strengthening supply chains and improving logistics infrastructure,” he said, highlighting the importance of government-linked investment companies (GLICs) channeling funds into private markets to develop these ecosystems.
“By investing in such initiatives, we are building long-term resilience for the domestic economy,” he added.
