President Message October 2012

PRESIDENT MESSAGE – OCTOBER 2012

OCTOBER  2012 MESSAGE FROM MBAM PRESIDENT, MR MATTHEW TEE

 BUDGET COMMENTARY

 MBAM welcomes the balanced growth budget as tabled by the Prime Minister recently, taking into consideration both prevailing external and internal factors. Construction industry and the services sector are expected to play a vital role by contribution of 11.2% to the GDP growth in 2013. In order to achieve this encouraging but challenging target, the Government and the private sector must work closely together to ensure projects under the Economic Transformation Programme (ETP), the Entry Point Projects (EPP), projects under the 5 corridors and the Greater Kuala Lumpur and Klang Valley, Rural Transformation Programme (RTP) and Urban Transformation Programme (UTP) initiatives are implemented in a timely manner as the projects will cost more if delayed. MBAM hope that the Government will continue to attract investments on all ETP and EPP projects to ensure ample funds for growth.

 MBAM is however disappointed as no reduction was made on the imposition of duties for construction heavy machineries equipment which is used in the construction industry which MBAM has appealed for since 2006. It would be good to encourage usage of new machineries that are more productive and cost lesser to maintain if the duties are lowered to encourage the construction industry to upgrade their machineries. We sincerely hope that our appeal will be heard and that any objection by any parties should be openly discussed.

 In addition, MBAM is also disappointed with the imposition of additional 5%  on Real Property Gain Tax  (RPGT) for properties sold within a period of 2 years  and after 3 years as we feel that the financial measures imposed by Bank Negara Malaysia to curb property market speculation is sufficient as it is.

 MEMORANDUM TO DEWAN BANDARAYA KUALA LUMPUR (DBKL) AND PEMUDAH

 MBAM and REHDA  is currently working on a memorandum to DBKL and PEMUDAH to be ready by end October 2012  where we are proposing measures in the area of construction which we believe will reduce the complaints from the city dweller while allowing the developers and construction professionals for the installation of first class infrastructure and facilities in the shortest period possible.

 The future of the construction industry in Greater KL is aligned with the well-being and progress of the inhabitants and visitors to the city and this should guide us all in moving forward. If there is a set of clearly laid down rules whose criteria are measurable and transparent for which there will be strict enforcement, MBAM and REHDA believe this would alleviate most of the problems currently faced by all parties including enforcing agencies, city dwellers and contractors.

 SERVING THE INTEREST OF MBAM MEMBERS AND THE CONSTRUCTION INDUSTRY

 It is now roughly a little more than 100 days since my fellow Council Members since I  took office and we are committed to serve the needs of all our stakeholders, particularly our members who are the reasons of our existence. We shall strive to provide our members with the best service so that they can continue to prosper towards realization of a progressive, dynamic and resilient construction industry contributing to sustainable growth of our nation. We look forward to feedback from you on how to improve the services of the Association!

 

Yours faithfully,

 

Matthew Tee,

President, MBAM