'Infrastructure catalyst to nation's success'

PUTRAJAYA: Malaysia's competitiveness depends critically on its infrastructure and the country will continue to prioritise high-quality, world-class projects to remain a top draw for foreign investors, the deputy prime minister said. Datuk Seri Najib Razak said other countries were catching on to Malaysia's success formula, which was to undertake projects that promote economic growth and attract investments, rather than merely to ease bottlenecks for development purposes.

"We should not be lulled into complacency. Building first-class infrastructure as an inducement to attract investment is not a strategy exclusive to us," Najib said when launching the International Conference on Infrastructure Development yesterday.

He said from 1991 until the end of last year, the government spent RM100 billion on infrastructure, including building 104,112km of roads and bridges.

Malaysia had also attracted international attention with projects such as the Penang Bridge, Petronas Twin Towers, Westport, the federal government administrative centre in Putrajaya, the Smart Tunnel and the Kuala Lumpur International Airport.

"These projects have contributed to our economic growth and attractiveness as an investment destination," Najib said.

Speaking at a press conference later, Najib said while competitive projects were important for the economy, the government would not neglect the infrastructure needs of rural areas.

He said although billions had been spent on infrastructure, the returns could not be calculated in monetary terms because the government could not impose fees on all its projects.

"The non-financial returns are greater. Infrastructure is a catalyst for greater development, without which we cannot attract foreign investors and will hamper our economic progress," Najib said.

He also said infrastructure planning had to consider the effects of environmental and climate change.

"The effect of natural disasters such as earthquakes, floods, tsunamis and other calamities should be given serious consideration when planning any infrastructure project.

"We must choose a sustainable development approach to preserve the environment and also to ensure that our development will not worsen the effects of climate change or cause things like flash floods."

The three-day conference which ends today was organised by the Kuala Lumpur Infrastructure University College (KLIUC) with support from the Institution of Engineers Malaysia, the Construction Industry Development Board Malaysia, and UEM World Berhad.

The theme is "Ensuring Sustainable National Building for the 21st Century and Beyond".

Also present at the launch were Higher Education Minister Datuk Seri Khaled Nordin, KLIUC president Prof Datuk Dr Mohammad Noor Salleh and chairman of the KLIUC board of governors Tan Sri Abdul Hamid Othman.