KUALA LUMPUR: Government-linked companies (GLCs) and government-linked investment companies (GLICs) are committed to invest up to RM50 billion in the local economy in 2023, resuming their role as the main economic drivers.
During the tabling of 2023 Budget, Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said of the total, the GLCs and GLICs would invest RM1.3 billion in venture capital to support start-up companies and entrepreneurs and RM1.35 billion to focus on food security projects.
Tengku Zafrul said they were also mandated to provide the push for the country's sustainability agenda with the launch of the sustainability framework and set targets to achieve a fully environmental, social and governance (ESG)-compliant portfolio and carbon-neutral operations.
"Domestic direct investment from GLCs is indeed important in economic recovery. Among them, the Employees Provident Fund (EPF) will continue the development of Kwasa Damansara by creating more than 6,000 job opportunities with a total investment exceeding RM3 billion ringgit until 2025.
"In addition, Permodalan Nasional Bhd (PNB), through the Menara Merdeka 118 project, will bring a gross development value of over RM10 billion and create up to 4,000 new job opportunities," he said.
Tengku Zafrul said Khazanah Nasional Bhd would invest RM1 billion under Dana Impak. Of this, RM230 million would be reserved for investment in locally owned high-tech companies.
"This fund will support more locals to gain experience working with multinational companies by setting up their own technology companies, such as SkyeChip.
"In order to encourage companies like this to generate their own patents, the government also plans to extend tax incentives for the development of intellectual property until Dec 31, 2025," he said.