The MCA Economic and SMEs Affairs Committee welcomes the tabling of the 13th Malaysia Plan (RMK13) by Prime Minister Dato’ Seri Anwar Ibrahim, in particular, the emphasis on fairness, sustainability, and inclusivity. These are the three core principles for Malaysia’s future development which are exactly the type of reform our current economy and society urgently need.

Only by moving towards a development path that is genuinely fair and professionally driven can our economy and society reach their full potential. If the government is sincere about fulfilling the promises of Malaysia Madani, it must be bold enough to re-evaluate long-standing systems and dismantle policy frameworks that hinder competition and growth. All types of enterprises must be given fair access to government procurement, infrastructure projects, and public initiatives.

This is not just the people’s minimum expectation of Malaysia Madani—it is also a necessary step towards becoming a high-income, high-performance society.

To support the goals of fair and sustainable development, we propose five key structural reforms:

1. Gradually open up government contract tenders to ensure fair competition among all qualified businesses;
2. Shift the policy focus from race to socio-economic status to support those who are truly marginalised;
3. Incentivise inter-ethnic joint ventures to foster unity and shared national growth;
4. Implement transparent, performance-based evaluation criteria to ensure fair resource distribution;
5. Strengthen regulatory and accountability mechanisms to eliminate cronyism and abuse of power.

In light of the government’s proposed implementation of a Multi-Tiered Levy Mechanism (MTLM), our Commitee emphasises the need to simultaneously increase local workforce participation. The government should establish a dedicated fund to provide targeted training for Malaysian workers—especially in sectors heavily dependent on foreign labour, such as 3D (dirty, dangerous, difficult) jobs. Furthermore, businesses and the government need to co-develop short-term, job-specific training programmes, and coordinate with Employment Service Centres to prioritise local job seekers for industry placements.

In supporting SME development and transformation, we call on the government to:

1. Provide affordable and accessible loans, as well as subsidies for digitalisation and technology transfer;
2. Reduce corporate tax rates, especially for companies investing in automation and productivity upgrades;
3. Strengthen fiscal support for SME innovation, incubation, and R&D to enhance competitiveness;
4. Prioritise the procurement of local SME products in public sector purchases.

Economic policies must go hand-in-hand with local workforce development and the strengthening of SME resilience.

While attracting high-value investments is crucial, economic transformation cannot rely solely on headline-grabbing figures. The government must focus on real, impactful investments that generate local jobs, involve SMEs, and produce lasting economic spillover.

The public yearns for policies that strike a balance between structural reform and economic support—so Malaysia can truly advance towards a high-skilled, innovation-driven, and opportunity-rich future.

Datuk Ir. Lawrence Low
MCA Economic and SMEs Affairs Committee Chairman
MCA Vice President

1 August 2025

-MCA Comm-