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NEWS UPDATES Asean Affairs        17  June 2011

Controversy over Malaysian development models

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Prime Minister Datuk Seri Najib Tun Razak on Thursday refuted allegations that the government was only pushing the Economic Transformation Programme (ETP) which is investment based, but not the New Economic Model(NEM).

He said the Report on the New Economic Model titled "Last Part:Strategic Policy" had given a wider and detailed explanation on the measures taken under the Strategic Reform Initiatives (SRI).

He said to discuss the action plans for the SRI toward attaining the NEM's goals, a total of six laboratories were held that deliberated on 37 of 51 NEM policies.

"These labs were then divided into smaller ones to translate the policies into concrete action plans.

"Also taken into consideration were initiatives taken under the 10Malaysia Plan. The findings of the SRI labs were also deliberated by the Cabinet," he said in his written reply to Nurul Izzah Anwar (PKR-Lembah Pantai) in the Dewan Rakyat Thursday.

Najib also said that the Finance Ministry in collaboration with the World Bank was carrying a study on public spending.

It was to ensure public expenditure ensured value for money and to prevent leakages, he said.

"One of the features is outcome-based budgeting (OBB)," he said, adding that this would result in prudent spending, avoid overlapping and prioritize needs.

The outcomes of the study would be used in formulating the 2012 budget, he added.


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