Initiatives of Malaysia Goverment to increase the economic and income per to country.

In 1957, Malaysia was been an independence country and from the point of beginning,Malaysia has looked forward to become as developed country.Therefore,it was been the responsibility to to build our country to achieve our vision. Now,It has notched up nearly half a century of rapid and inclusive economic growth, with real GDP expanding by 6.4% per annum on average since 1970. Once dependent on agriculture and commodity exports, this growth has allowed it to become a more diversified, modern economy. It is open and competitive too, with strong links to global value chains, particularly in manufacturing electronic goods, machine equipment, medical goods and so on.As such,many initiatives were planned to make sure we get to create the achievement that will be proud to all Malaysian and also the world.

As to achieve our dream,the Malaysian government has introduced a national transformation framework which aims to drive the country toward an advanced nation by 2020. Three pillars of the framework, the New Economic Model (NEM), the Economic Transformation Programme (ETP), and the 10th Malaysia Plan (2011-2015), have underscored the critical role of a highly skilled, creative and innovative workforce in achieving a high income economy that is both inclusive and sustainable.

In fact,to achieve the goal in the situation we have,there must be the obstacle or challenge that need to face.Presently, the talent base of the workforce of Malaysia has lagged behind the standard of high-income nations. The country suffers from a shortage of skilled workers, weak productivity growth stemming from a lack of creativity and innovation in the workforce, and an over-reliance on unskilled and low-wage migrant workers.

Next is the Malaysian government’s 11th Malaysia Plan, (2016-20) that emphasises the need for greater inclusiveness. In particular, it seeks to raise the living standards of the bottom 40% of the population by income, to reduce the income and infrastructure gaps between richer and poorer states, and to increase the participation of women in the economy.

Another key objective is to continue with gradual fiscal consolidation, following the reduction of the headline fiscal deficit from a peak of 6.4% of GDP in 2009 to a projected 3.1% in 2016. This progress owes much to major structural reforms. On the revenue side, the government introduced a consumption-based goods and services tax (GST) in April 2015, which led to better and more transparent tax collection, and has helped broaden an overly narrow tax base. Malaysia is one of Asia’s main oil and gas exporting countries, and GST implementation helped offset the sharp decline in oil prices, with the share of fiscal revenue from oil and gas halving between 2014 and 2016, to one sixth. On the expenditure side, the authorities embarked on a far-reaching energy and food subsidy rationalisation programme in 2009, which has now been largely completed.

To cushion the political and economic impact of the GST and subsidy removals, especially on lower incomes, the government introduced an income support programme in 2012, called BR1M, which involves income transfers to households in the bottom 40%. In addition, the government has provided substantial (arguably too broad) GST exemptions on various items, such as fruits, vegetables, cooking oil and petrol, which these low income groups have a larger propensity to consume.

From the implementation of the strategy, Malaysia’s economic success story has also been underpinned by prudent monetary and financial policy, led by its independent and authoritative central bank. Malaysia has the third largest bond market in Asia and is a global proponent of Islamic finance.

Besides that,Malaysian government also focus on education for their citizen as the knowledge is very precious to the people to get their job and good life style.The Malaysia Education Blueprint 2013-2025 was launched in September 2012 as the latest initiative of the government to transform the education system into one that produces thinking and innovative students to meet the needs of the new economy. Employers’ over-reliance on unskilled and cheap foreign labour has led to inadequate growth of skilled workers in the labour market. As a result, only 25% of Malaysia’s labour force is composed of highly skilled workers, as compared to significantly higher proportions in Singapore, Chinese Taipei and Korea.Despite of that result, the inadequately educated labour force of Malaysia has become the main obstacle to business operations and growth. Businesses in Malaysia, including SMEs, face increasing difficulties in recruiting and retaining skilled workers at the technical, supervisory and managerial levels (National SME Development Council, 2012). Such difficulty has intensified as the mismatch between skills needed by the labour market and those acquired by job seekers has worsened. More than 40% of firms have reported vacancies for skilled production worker positions, and the average time required to fill a vacancy is about four weeks (World Bank, 2009b). The main reason given by the firms for this long process is that the applicants did not have the required basic skills or the right technical skills needed to carry out the jobs in question. The evidence of skills mismatch is further indicated by the relatively high unemployment rate of graduates .A survey by the Ministry of Higher Education (MOHE) in 2008 shows that about a quarter of graduates of university and colleges remained unemployed six months after completion of their studies. For those who secured jobs, almost one-third were in jobs at a lower skill level than they were trained for.

Last but not least, we can say that many strategy are been plan by the government that was lead by our current Prime Minister,Datuk Seri Najib Tun Razak that is known as the ‘father of transformation’ or Bapa Transformasi because of the spate of transformation initiative that he had made.Finally,my hope for my lovely country is that I hope I can be the part who can contribute myself with my career to my nation and also to the society in future.May Allah ease me everything in my journey in 2017.