STATE governments said the Malaysia Madani Budget 2024 is comprehensive in covering all segments of society, including economic and infrastructure development in the states. 

The Penang government welcomed the announced initiatives, which saw the state given priority in national development. 

Chief Minister Chow Kon Yeow said the proposal to provide an investment tax allowance on a tiered basis of 70% or 100% with the “trickle-down economics” policy encouraged investors to increase capital investment. 

In addition to the increase in commodity productivity, the introduction of the policy would also indirectly create more job opportunities, in turn driving the state’s economic cycle, he said in a statement. 

Chow hoped construction of the Light Rail Transit (LRT) in Penang could be expedited in line with the state government’s aspiration to strengthen rail-based public transport on the island. 

He was confident the LRT, estimated to be worth RM10 billion, would contribute to an increase in gross fixed capital formation, improve residents’ quality of life, and reduce traffic flow density during peak hours. 

The LRT system connecting the island with Seberang Perai will be implemented through a private partnership arrangement. 

In January, Chow said the state government was waiting to discuss the proposed George Town-Butterworth LRT link with the prime minister and Transport Minister Anthony Loke.  

In Kedah, Menteri Besar Muhammad Sanusi Md Nor said the state government appreciated the federal government’s move to raise the floor price of rice purchases by manufacturers from RM1,200 per tonne to RM1,300 per tonne. 

He said the move would give some relief to farmers in Kedah. 

“The Kedah government also welcomes the federal government’s announcement to start a project to cultivate rice five times within two years, including in Kota Sarang Semut, Kedah. 

“Thank you also for the proposed development of a new special education block at SMK Kubang Rotan in addition to the Bus Service Transformation Programme in the Kota Setar District,” he said in a statement. 

As chairman of PASRelief, Sanusi appreciated the federal government’s desire to contribute RM10 million in aid of the suffering Palestinians.  

Earlier, Prime Minister Anwar Ibrahim tabled the record-setting RM393.8 billion Budget 2024, themed “Economic Reform, Empowering People”.  

RM303.8 billion has been allocated for operating expenses and RM90 billion for development.

Anwar said the results-based incentive approach to be adopted would encourage companies to invest in high-growth and high-value areas to further create new economic clusters, expand domestic networks, and achieve a balance between economic and environmental sustainability. – Bernama, October 14, 2023.