Relationship Between Government Policies And Investment Market
Acknowledgements
We would like to thank the all people who assisted us in the preparation of this report especially to our lecturer Puan Noor Aishah Mohamad Hamdan.
1.0 INTRODUCTION
According to Malaysian Investment Development Authority (MIDA), government policies that maintain a business environment with opportunities for growth and profits have made Malaysia an attractive manufacturing and export base in the region. The private sector in Malaysia has become partners with the public sector in achieving the nation 's development objectives.
Over the decades, the Government of Malaysia has effectively used the fiscal policy through tax measures and allocation of operating and development expenditures to attained a broad range of macroeconomic objectives such as growth & equity, macroeconomic stability, reform & restructuring such as tax incentives to facilitate reform and structuring of economy, sectored and regional development such as tax incentives and expenditure directed at targeted sectors (Narayanan, 2007).
Narayanan (2007) also cited that Malaysia has experienced difficulties in balancing its budget. Therefore in this recent year, Malaysia has becoming run deficit budgets. The slow growth or decline of several sources of revenue has given pause for reflection on the approach to fiscal management. The key to fiscal flexibility is to ensure that the mandatory spending and the size the government is not too large, the fiscal deficit is not structural and public debt level not excessively high.
1.1 Backgrounds
Construction Economics III is aimed to provide an in-depth study of development economics including investment market and property development, preparation of feasibility studies, financing and risk and uncertainty of development works and the influence of government policies on such works.
1.2 Purpose
The purpose of this report is to study and understand the relationship between government
We would like to thank the all people who assisted us in the preparation of this report especially to our lecturer Puan Noor Aishah Mohamad Hamdan.
1.0 INTRODUCTION
According to Malaysian Investment Development Authority (MIDA), government policies that maintain a business environment with opportunities for growth and profits have made Malaysia an attractive manufacturing and export base in the region. The private sector in Malaysia has become partners with the public sector in achieving the nation 's development objectives.
Over the decades, the Government of Malaysia has effectively used the fiscal policy through tax measures and allocation of operating and development expenditures to attained a broad range of macroeconomic objectives such as growth & equity, macroeconomic stability, reform & restructuring such as tax incentives to facilitate reform and structuring of economy, sectored and regional development such as tax incentives and expenditure directed at targeted sectors (Narayanan, 2007).
Narayanan (2007) also cited that Malaysia has experienced difficulties in balancing its budget. Therefore in this recent year, Malaysia has becoming run deficit budgets. The slow growth or decline of several sources of revenue has given pause for reflection on the approach to fiscal management. The key to fiscal flexibility is to ensure that the mandatory spending and the size the government is not too large, the fiscal deficit is not structural and public debt level not excessively high.
1.1 Backgrounds
Construction Economics III is aimed to provide an in-depth study of development economics including investment market and property development, preparation of feasibility studies, financing and risk and uncertainty of development works and the influence of government policies on such works.
1.2 Purpose
The purpose of this report is to study and understand the relationship between government
Bibliography: 1. Graham, J. P., & Spaulding, B. R. (2005). Understanding Foreign Direct Investment. Retrieved October 26, 2013, from http://www.going-global.com/articles/understanding_foreign_direct_investment.htm 2 3. BBC news 2013."Malaysian cut subsidies on fuel" Retrieved on October 26, 2013 from http://www.bbc.co.uk/news/business-23926411 4 5. Sinar Harian 2013. " 11 tahun negara dalam hutang” Retrieved on October 26, 2013 from http://www.sinarharian.com.my/11-tahun-negara-dalam-hutang-1.198768 6 7. The Star 2013. “Malaysia Ringgit Hits 3-Week High After Fuel Subsidies Cut” Retrieved on October 26, 2013 from “http://www.thestar.com.my/Business/Business-News/2013/09/03/Malaysia-Ringgit-Hits-3Week-High-After-Fuel-Subsidies-Cut.aspx 8