Government must focus on three main issues for Budget 2024 - MEF

SHAH ALAM - The Malaysian Employers Federation (MEF) hopes the government will focus on three main issues in Budget 2024.

Its president Datuk Dr Syed Hussain Syed Husman said the three key items were long-term sustainability for businesses, Technical and Vocational Education and Training (TVET) and the overnight policy rate (OPR).

Touching on businesses sustainability, he said this was most vital for small and medium enterprises (SMEs). He also said Malaysia’s business environment must be changed to become more attractive to retain and attract high quality investments.

“The long-term sustainability of businesses especially SMEs is important to ensure they remain in business despite challenging times.

“SMEs must be aided to follow the digitalisation developments of operations to ensure they are productive and competitive.

“Budget 2024 must introduce the measures to change Malaysia towards becoming a business-friendly environment to attract high-quality investments which will create job opportunities for the public especially the youth,” he said when contacted by Sinar.

On TVET, Syed Hussain expressed hopes that the government focus on providing more allocations and push to reshape the TVET courses as it was important to create skilled workers in line with IR 4.0 and to raise the percentage to 35 per cent by 2025.

He also said the equipment in TVET public institutions must be improved to ensure students would experience using the latest machines in institutions.

The MEF chief also hopes for Bank Negara Malaysia to reduce the OPR, which currently at three per cent in a bid to create reasonable loan costs.

Lower loan costs, he said would encourage efforts to increase investments thus pushing the entire economic growth activities.

“I saw there was a need to make the business environment better to attract investors. The lower corporate tax rates comparable with regional tax rates would make Malaysia more attractive to investors.

“High quality investments would create better job opportunities. The individual income tax must be reduced to attract and retain the talents that move towards this nation,” he said.

Budget 2024, to be tabled in parliament on Oct 13, will be the second budget announced by the unity government this year.