Strategies & Targeted Outcomes
The NCER initiative is part of an overall move by the Government to promote balanced development across the different regions in Malaysia, whilst at the same time accelerating Malaysia’s move towards high-value, knowledge-driven economic activities.
Strategies
The strategy will be to focus on growing the economic contribution from selected economic activities in which the Region has the potential to excel in. This will be done by providing incentives for private-sector investment, identifying anchor investors and addressing key enablers that would create a conducive business environment – including developing the required human capital, providing technologies and enhancing infrastructure. The key economic sectors that have been identified for promotion are agriculture, manufacturing, tourism and logistics services.
Targeted Outcomes
The key outcomes targeted for each economic focus area are as follow:
Taken in combination, the implementation of the programmes under the NCER initiative targets to increase the Region’s real GDP by 306%, from RM52.7 billion1 in 2005 to RM214.1 billion in 2025. This would correspondingly increase real GDP per capita from RM8,9882 per annum in 2005 to RM24,582 in 2025. In terms of employment, dramatic increases in agricultural productivity would increase the ratio of the number of hectares under cultivation in relation to the number of workers required. However, increased land being cultivated, and increased manufacturing and services activities will more than compensate, and it is anticipated that employment in the Region would increase from 2.43 million3 in 2005, to 4.0 million4 in 2025.
- 2005 GDP for Perlis, Kedah, Pulau Pinang and Perak (total state) at 1987 prices. Calculated using Malaysian GDP in 2005 at 1987 prices from “The Malaysian Economy in figures, 2006”, published by Economic Planning Unit (EPU); and the state-by-state share of GDP in the same year, p. 32 of the Third Industrial Master Plan (Data Source: EPU). However, based on the Eighth Malaysia Plan forecast, the GDP at 1987 prices for the four states = RM64.2 billion
- Calculated from Northern Region GDP (footnote 3) and Northern Region population (p. 361 of Ninth Malaysia Plan)
- Eighth Malaysia Plan forecast
- Excludes self-employment