Malaysia's private investment need to grow at an average rate of 12.8 percent a year in the next five years to reach an economic growth target of 6 percent, a minister said here Tuesday.
Malaysian Second Finance Minister Ahmad Husni Hanadzlah made this remark when chairing the focus group meeting for the country' s Budget 2011 at Putrajaya, the administration center of the nation's federal government, on Tuesday.
The minister said the meeting started with a discussion on accelerating private investments as it was deemed as the key factor driving the country's economy during the 10th Malaysia Plan, a five-year development plan announced last Thursday.
Ahmad Husni said that the Malaysian government had received memoranda from various stakeholders and a few meetings will be held until the end of July to discuss the wide range of issues and proposals.
Besides private investment, Ahmad Husni said that areas such as human development, creativity and innovation, small, medium and micro enterprises, as well as inclusive development would also be touched upon.
According to Ahmad Husni, private investment stood at about 10 percent of the country's gross domestic product currently.
Its growth rate of 21.4 percent during the pre-crisis period had declined to 7.6 percent, added the minister.
The 10th Malaysia Plan has changed its investment strategy to not only focus on wooing foreign direct investment but also look at ways that will boost domestic investment.
The 6-percent GDP growth is also essential as it is the minimum growth rate for the country to become a high-income developed nation by 2020./.