Week 45 - 2024
PETALING DISTRICT HAS MALAYSIA'S NEXT HIGHEST GDP AFTER KL
NST, 04/11/2024
Petaling district has surpassed the gross domestic product (GDP) of all states except for Kuala Lumpur, which stood at RM217.4 billion, in 2020. Petaling's GDP exceeded RM100 billion during the year, with a value of RM165.7 billion. The five main districts contributed to the GDP were Petaling, Johor Bahru, Klang, Ulu Langat and Bintulu. They collectively accounted for 34.8% of the total GDP across 156 districts in Malaysia for 2020.
Within the period, the average GDP per capita for all districts amounted to RM36,265 with 29 districts surpassed the average. Bintulu in Sarawak and Barat Daya in Pulau Pinang registered the highest GDP per capita values of RM227,834 and RM122,593 respectively.
In classifying districts by GDP range, 31 districts registered GDPs of less than RM500 million, comprising 25 and six districts in Sarawak and Sabah respectively, with Kabong in Sarawak recorded the lowest at RM59.5 million. The economic value of these districts was in line with their low population density, which was less than 100 people per square kilometre.
Additionally, 11 districts namely Ulu Langat and Gombak in Selangor, Bintulu and Kuching in Sarawak, Kinta in Perak, Seremban in Negri Sembilan, Barat Daya, Seberang Perai Tengah and Timur Laut in Penang, Melaka Tengah and Kuantan in Pahang demonstrated GDPs ranging from RM20 billion to less than RM50 billion. This was followed by range of RM50 billion to less than RM100 billion, registered by Johor Bahru (RM64.3 billion) and Klang (RM50.2 billion).
In the context of economic sectors, 105 districts were dominated by the services sector, while 38 were led by agriculture and 13 by manufacturing sector.
As of 2020, the estimated population across all 156 districts in Malaysia is about 29.98 million. Petaling (Selangor) has the highest population, totalling 2.3 million, followed by Johor Bahru in Johor (1.7 million) and three other districts in Selangor namely Ulu Langat (1.4 million), Klang (1.1 million) and Gombak (942,000). Petaling, Gombak, Klang, Ulu Langat and Johor Bahru had the highest number of labour forces, collectively accounting for 26.0% of the total labour force across all districts.
A total of 50 districts have demonstrated a Labour Force Participation Rate (LFPR) exceeding the national average of 68.4. Petaling in Selangor, Beluran in Sabah, Klang in Selangor, Seberang Perai Selatan in Pulau Pinang, and Sepang in Selangor exhibiting the highest LFPRs at 76.9%, 76.5%, 76.4%, 75.9 and 75.8% respectively.
The lowest unemployment rate was recorded in Jasin at 1.6%, followed by Batu Pahat (Johor), Melaka Tengah (Melaka), and Ulu Selangor (Selangor) at 2.1% respectively, and Muar (Johor) at 2.3%.
From the perspective of poverty, Sepang (Selangor) has the lowest rate of absolute poverty. On the other hand, the districts with the highest rates of poverty were Pitas, Tongod and Kota Marudu in Sabah, with 53, 51 and 50 impoverished households for every 1,000 households. Following these were Kecil Lojing in Kelantan (44) and Beluran in Sabah (38).
2023 HOUSEHOLD SPENDING AT RM4,729
NST, 04/11/2024
The mean monthly basic expenditure of decent living (PAKW) for households in Malaysia was registered at RM4,729 for 2023. PAKW is a newly-created cost of living index calculated based on 419 items covering food and clothing to utilities and transportation. A comparison by area recorded that PAKW in urban areas was higher than in rural areas, with values of RM5,040 and RM3,631, respectively. The factors that influenced PAKW values were household size, age, gender, and area. Households with more members require higher expenditures to meet both their food and non-food needs.
Meanwhile, the data stated that Selangor recorded the highest PAKW value at RM5,854, followed by Kuala Lumpur (RM5,468), Labuan (RM5,376), Melaka (RM5,291), and Putrajaya (RM5,249). They all reported PAKW values exceeding the national mean of RM4,729. In contrast, the lowest PAKW values were recorded in Perak (RM3,723), followed by Kedah (RM3,787), Perlis (RM3,818), Pahang (RM3,949), and Negri Sembilan (RM3,987).
Petaling district registered the highest PAKW value in Malaysia at RM6,660. Next was Klang (RM6,244), Hulu Langat (RM5,810), Kuala Terengganu (RM5,750), and Lahad Datu (RM5,608). The lowest PAKW values were recorded in Bukit Mabong (RM1,945), followed by Julau (RM2,347), Sri Aman (RM2,486), Belaga (RM2,493), and Lubok Antu (RM2,516).
The development of PAKW is based on the principle of above minimum needs, taking into account three aspects of decent living: needs, wants, and social participation, based on the income/spending patterns of households. This approach also considers the cost of eating outside and the minimum-diversified concept for food expenditure choices.
BANK NEGARA MAINTAINS SUPPORTIVE OPR OF 3%
The Edge, 06/11/2024, The Sun & The Star, 07/11/2024
Bank Negara kept the overnight policy rate (OPR) unchanged at 3%, noting that this level supports Malaysia's economy and aligns with its assessment of inflation and growth prospects. The Monetary Policy Committee (MPC) remains vigilant to ongoing developments to inform the assessment on the domestic inflation and growth trajectories going into 2025. The MPC will ensure that the monetary policy stance remains conducive to sustainable economic growth amid price stability. The central bank said the global economy continues to expand, supported by resilient labour markets and an ongoing recovery in global trade. Looking forward, global growth is expected to be sustained by strong labour market conditions, moderating inflation, and less restrictive monetary policies.
MATRADE: KL RECORDS RM49.54 BILLION IN EXPORT VALUE IN 9M2024
The Edge, 06/11/2024
Kuala Lumpur recorded an export value of RM49.54 billion, an increase of 4.9% in 9M24, compared to the same period last year, according to the Malaysia External Trade Development Corporation (Matrade). This positive growth is driven by key sectors, including refined petroleum products, integrated electronic circuits, telecommunications equipment, parts, and accessories.
Kuala Lumpur is one of the critical destinations in the national export sector, given its export connectivity to major trading partners, such as China, the United States, Indonesia and Singapore last year. The importance of Kuala Lumpur is also reflected in its economic growth rate, which increased by 3.7% in 2023, compared to 9.4% in the previous year, with a gross domestic product (GDP) value of RM249.3 billion. Kuala Lumpur is also one of the four states that recorded growth exceeding the national growth rate (3.6%) in 2023. Kuala Lumpur registered a trade value of RM157.87 billion, up 3.6% in 2023 from the previous year, while total exports amounted to RM66.24 billion, an increase of 0.6%, making the Federal Territory’s performance as the fourth-highest state in terms of trade value in 2023, following Penang, Selangor, and Johor.
GOVT RAISES ALLOCATION FOR CONSTRUCTION OF NEW HOMES UNDER REBRANDED PROGRAMME
The Edge, 07/11/2024
The government has increased the allocation for the construction of new homes under the rebranded Program Perumahan Rakyat Sejahtera (PPRS), formerly known as the Poor Housing Programme (PPRT). The allocation has been raised to RM79,000, from RM66,000; and in Sabah, Sarawak and Labuan, from RM79,000 to RM85,000. The size of the homes also has been increased from 660 sq. ft. to 680 sq. ft.
LRT3 TO DRIVE RIDERSHIP
The Star, 06/11/2024
A new urban railway line with a capacity of up to 200,000 passengers daily will open next September to offer greater connectivity in the western part of the Klang Valley. LRT3, now known as the Shah Alam line, has the ability to move 6,210 passengers per hour per direction (pphpd) to provide smoother travel for the 37km ride from Kampung Johan Setia, Klang, to Bandar Utama, Petaling Jaya. The Shah Alam LRT is more than 96% ready and will undergo testing and regulatory approvals by April next year.
The capacity of the line will be bumped up to 7,341 pphpd in early 2028 following the reinstatement of five stations for the line that were shelved by the government in 2018 due to cost-cutting measures. Apart from the Bandar Botanik, Bukit Raja, Raja Muda, Temasya and Tropicana stations, the allocation given by the government includes the procurement of seven train sets and 150 electric buses, plus the construction of two depots to support the buses to enhance better connectivity for commuters.
MALAYSIA LAUNCHES INVESTMALAYSIA PORTAL TO ATTRACT GLOBAL INVESTORS
The Edge, 07/11/2024
The Malaysian government launched the InvestMalaysia portal, which aims to be a one-stop gateway for investors to obtain information on Malaysia, to attract global investors and strengthen the country's position as an investment destination. The portal consolidates key information required for sound and timely investment decisions for investors, according to Bank Negara Malaysia, and highlights and promotes attractive investment opportunities to both domestic and foreign investors.
WE COMMUNICATIONS ANNOUNCES EXPANSION INTO M’SIA
The Star, 08/11/2024
WE Communications (WE), a leading independent global communications consultancy, has announced its expansion into Malaysia through Chase Advisors in response to the growing demand for regional communications and advocacy services across various industries including consumer goods, finance, healthcare and technology. Chase Advisors will offer a comprehensive suite of WE services, including policy advocacy and advisory, data and analytics, stakeholder engagement and strategic communications.
BINTAI KINDEN BAGS RM61.2 MILLION CONTRACT IN MELAKA
The Edge, 04/11/2024, NST & The Star, 05/11/2024
Bintai Kinden Corp Bhd via its wholly-owned Kejuruteraan Bintai Kindenko Sdn Bhd (KBK) has been awarded a RM61.2 million contract by N&T Asset Sdn. Bhd to build a housing project in Jasin, Melaka. KBK will serve as the main contractor for the entire project scope, including underpinning, structural, mechanical and electrical works, as well as infrastructure development on a design-and-build basis. The project will involve the construction of 30 single-storey semi-detached houses, 90 single-storey cluster semi-detached houses, and 136 single-storey terraces. It also includes the development of six single-storey bungalow houses and 13 single-storey shop lot units, alongside critical infrastructure, including two substations, a centralised sewerage treatment plant, and an elevated water tank complete with a suction tank and pump house. The project is scheduled for handover by Nov 4, 2027.
OSK PROPERTY LAUNCHES NARA SERVICED APARTMENT AT SHOREA PARK IN PUCHONG
Edgeprop.my & Starproperty.my, 04/11/2024
OSK Property has launched NARA at Shorea Park, the latest phase of the Shorea Park masterplan. NARA at Shorea Park follows the completely sold-out MIRA at Shorea Park which was launched in September 2021. NARA at Shorea Park offers stylish residences starting at just RM250,000. NARA covers 3.90 acres and features 709 residential units, with layouts ranging from 1+1 to 4 bedrooms and 2 to 3 bathrooms. Units range from 560 sq. ft. to 1,055 sq. ft., with extra storage options for some. Residents can access up to 3 parking bays.
Inspired by local flora, the design of NARA integrates with nature to create a peaceful living space. A nearby one-acre public park provides an ideal spot for families to bond and relax. Health-conscious residents can enjoy many facilities, including a 50m swimming pool, a hydrotherapy spa, a jogging track, a gym, badminton and basketball courts and areas for children and families.
TA GLOBAL ANNOUNCES 60% TAKE-UP RATE FOR FIRST TOWER OF AMAYA RESIDENCES SERVICED APARTMENT IN BANDAR SRI DAMANSARA
Edgeprop.my & The Edge, 04/11/2024
TA Global Bhd has announced a 60% take-up rate for the first tower (Tower A) of its Amaya Residences serviced apartment in the Damansara Avenue mixed-use development in Bandar Sri Damansara, Selangor.
Amaya Residences will have 1,268 units spread over 68-storey of Tower A and Tower B. Units at Tower A will have built-ups ranging between 554 and 1,230 sq. ft., while units' sizes at Tower B are from 539 to 1,181 sq. ft. The selling price starts from RM553,000 to RM1.35 million. Tower B is currently open for registration and is expected to be launched next year.
Amaya Residences is part of Ativo Annexe, a 15-acre (6.07-hectare) mixed-development, with a GDV of RM3 billion located within the bigger 48-acre Damansara Avenue master plan. Within Ativo Annexe, there will be residential towers, corporate offices, a 420,000 sq. ft, retail mall named DA Central Mall, an international hotel and a wellness hub. The developer has completed a link bridge that will connect the aforementioned mall to the Sri Damansara Sentral MRT Station.
TUJU SETIA BAGS RM411 MILLION JOB TO BUILD SUNWAY SERENE 2
The Edge, 04/11/2024 & The Star, 05/11/2024
Tuju Setia Bhd via its subsidiary, Pembinaan Tuju Setia Sdn Bhd (PTS) bagged a RM411 million contract from Sunway Serene Sdn Bhd to build a high-rise and landed residential development known as Sunway Serene 2, in Kelana Jaya. PTS will construct two blocks of 45-storey tower with 9 level of podium carparks and 2 level of facilities; 2 rows of 2-storey Super Link landed units and 1 row of 3-storey Super Link landed units. The project is for a duration of 40 months.
HARVEY NORMAN LAUNCHES FLAGSHIP KL STORE
The Star, 04/11/2024
Australian retailer Harvey Norman has launched its flagship store at Mid Valley Megamall in Kuala Lumpur. The store aims to redefine home and lifestyle retail by integrating smart technology with customer convenience. The outlet offers a wide range of products, including home appliances, furniture and bedding. Harvey Norman is targeting 80 stores nationwide, with suitable market conditions permitting.
MALAYSIA'S WHOLESALE AND RETAIL TRADE SALES UP 3.8% TO RM148.2 BILLION IN SEPTEMBER 2024
The Edge, 07/11/2024 & The Sun, 08/11/2024
Malaysia's wholesale and retail trade sector recorded a 3.8% year-on-year (y-o-y) growth in September 2024, achieving total sales of RM148.2 billion. The volume index of wholesale and retail trade for September grew 3.5% y-o-y. Wholesale trade expanded by 4.8%, while motor vehicles saw a 2.4% decline in volume.
Wholesale trade contributed RM66.5 billion, increasing 3.6%, while retail trade showed resilience, with a 5.5% growth, reaching RM64.4 billion in total sales. The motor vehicles sub-sector, however, saw a contraction of 1% in sales, totalling RM17.3 billion, with a sharper decline of 10.3% specifically in motor vehicle sales. This decrease may have been partially influenced by a new regulation introduced in August, which adjusts financing requirements and could be prompting consumers to reassess their purchasing decisions as they adapt to the updated loan terms.
Malaysia's wholesale and retail trade sector continued to demonstrate a steady performance, driven by sustained consumer confidence and stable economic conditions.
ANEKA JARINGAN SECURES RM39 MILLION CONSTRUCTION CONTRACT IN KUALA LUMPUR
The Edge, 05/11/2024
Construction firm Aneka Jaringan Holdings Bhd has secured a RM39 million contract to undertake earthwork, piling, pile caps and contiguous bored piling works in Jalan Pantai Sentral, Kuala Lumpur. The three-phase contract was awarded to its wholly-owned subsidiary, Aneka Jaringan Sdn Bhd, by GDP Architects Sdn Bhd on behalf of Murni Lapisan Sdn Bhd. The contract is set to commence on Nov 7, 2024, with completion expected by Mar 6, 2026.
Phase one of the contract is for the two office blocks, both including mechanical and electrical (M&E) levels. Phase two is for the 43-storey serviced apartment block (438 units) with M&E and amenity floors above the phase one podium, along with amenity levels on floors 28 and 45. Meanwhile, phase three will be for the 33-storey serviced apartment block (290 units) with M&E and amenity floors above the phase one podium.
ECOWORLD TO FORK OUT RM742M CASH TO BUY 10 PLOTS OF SEMENYIH LAND FROM BOUSTEAD GROUP FOR NEW RM4.6 BILLION MIXED PROJECT
The Edge, 07/11/2024, NST & The Star, 08/11/2024
Eco World Development Group Bhd via its subsidiary Mutiara Balau Sdn Bhd, is buying 10 parcels of land measuring 847.25 acres in Semenyih, Selangor for RM742.41 million. It plans to use the plots for a new mixed development which is expected to have an estimated gross development value of RM4.6 billion.
The new land, located next to EcoWorld's Eco Forest township, is planned to be developed into a mixed residential and commercial development known as Eco Forest 2. The proposed development will primarily comprise landed homes targeting the mass market segment.
MAH SING ACQUIRES 5.24-ACRE OLD KLANG ROAD LAND FOR TRANSIT-ORIENTED M AURORA
The Edge, 07/11/2024, NST & The Star, 08/11/2024
Mah Sing Group Bhd has acquired a 5.24-acre (2.12-hectare) freehold parcel in Old Klang Road here for approximately RM113 million from Team Keris Bhd to develop a new transit-oriented development (TOD) named M Aurora. The project is expected to be opened for registration in 1Q25. M Aurora will have an estimated GDV of RM660 million and offer two-, three- and four-bedroom layouts, with indicative built-up sizes of 702, 852 and 1,005 sq. ft. respectively. Selling prices start from RM468,800. The project will also offer retail lots, including drive-thru units.
M Aurora will be equipped with several sustainable features, including low-consumption lifts, LED lighting in common areas, rooftop solar panels, and automated waste collection systems. The TOD project is located within close proximity to the Jalan Templer KTM Station (about 330m away) and the Petaling KTM Station (450m).
TCS BAGS RM86 MILLION CONTRACT
The Edge, 05/11/2024 & The Star, 06/11/2024
Building and infrastructure construction services provider TCS Group Holdings Bhd has secured a RM86.38 million contract from Sime Darby Property Bhd for the proposed construction and completion of 60 units of two-storey, semi-detached factories in Elmina Business Park, Selangor. The duration of the contract is 24 months, commencing from December 2024 with expected completion by December 2026.
JOHOR SETTING THE NATION’S SALARY BAR
The Star, 06/11/2024
Johor is set to make history as the first Malaysian state to offer starting salaries for high-skilled workers ranging from RM4,000 to RM5,000. This initiative is being led by the Johor Talent Development Council (JTDC), launched on Nov 3, showing the state’s commitment to nurturing a skilled workforce.
Johor government’s commitment to international collaboration was further demonstrated during recent discussions with 83 prominent companies from South Korea, aimed to promote the forthcoming Johor-Singapore Special Economic Zone (JS-SEZ), which is expected to attract investments worth approximately RM828 million. These new projects are expected to create more job opportunities for Johoreans in the coming years.
GEMAS-JB ELECTRIFIED DOUBLE-TRACKS TO COMPLETE BY 2025
NST, 05/11/2024
The Gemas-Johor Bahru electrified double-tracking rail project (Gemas-JB EDTP) is projected to be completed by 2025. It is currently 92% complete. The track includes 192 kilometres of track and 11 stops. It will travel through four major districts in Johor, including Segamat, Kluang, Kulai, and Johor Bahru, before concluding at JB Sentral. Trains would be able to travel from KL Sentral in Brickfields to JB Sentral in three hours and 30 minutes at a speed of 140 miles per hour.
The Gemas-JB EDTP is the final part of the present Keretapi Tanah Melayu Bhd (KTMB) network to be expanded from a single track to a double track. Once completed, the link would run from Peninsula Malaysia's southernmost tip all the way to Padang Besar on the Thai border. It will also complement the current Electrified Train Service (ETS) that runs from Padang Besar to Gemas, boosting public transport even further.
HAILY LANDS RM90 MILLION BUILDING JOB
The Star, 07/11/2024
Haily Group Bhd has accepted a letter of award (LoA) from Venice View Development Sdn Bhd for a residential project at Taman Tiara Indah, Johor, worth RM89.9 million. The project will comprise 366 units of double-storey terrace houses, a Tenaga Nasional Bhd sub-station and compact sub-station and two show units, as well as a guardhouse and gateway. The development will take around 15 months to complete.
SD GUTHRIE, AME ELITE TO DEVELOP GREEN INDUSTRIAL PARK IN JOHOR-SINGAPORE SEZ
The Edge, 04/11/2024, NST & The Star, 05/11/2024
SD Guthrie Bhd and AME Elite Consortium Bhd, through its subsidiary AME Industrial Park, are partnering to develop a green industrial park in the Johor-Singapore Special Economic Zone (JS-SEZ). The 259.4 hectares industrial park will be located on SD Guthrie's Kulai estate in Johor and will feature a dedicated solar park to supply green energy. It is designed to attract high-value industries such as logistics, advanced manufacturing, and clean technologies, offering various types of ready-built and bespoke factory options. The park will adhere to stringent environmental standards and sustainable practices.
PARAGON PLATINUM BREAKS GROUND FOR DESA 27 INDUSTRIAL PLOTS IN JOHOR BAHRU
The Edge, 07/11/2024
Paragon Platinum Sdn Bhd, a wholly owned subsidiary of Paragon Globe Bhd had commenced construction of its Desa 27 industrial development in Desa Cemerlang, Johor Bahru. Desa 27, spread across a 27-acre freehold industrial land, featuring five plots of detached factories. The project has a design-and-build concept, which provides flexibility for its tenants in terms of design, layout and facilities tailored to various operational setups and business needs. The confirmed tenants include Hunter Amenities International and Meiban Technologies Malaysia. The remaining three plots are still open for sale or lease. The selling price is RM25 million onwards, depending on the specifications.
RGT BUYS TWO PROPERTIES FOR RM16.8 MILLION TO EXPAND PRODUCTION CAPACITY
Edgeprop.my, 04/11/2024
Hygiene care solutions maker RGT Bhd is buying two leasehold industrial plots from Permai Gas Sdn Bhd via its wholly owned Rapid Growth Technology Sdn Bhd for RM16.8 million, located in Simpang Ampat, Penang, to set up dedicated assembly and production lines for new customers and to enhance its production efficiency. One of the plots currently has a three-storey office building whilst the other plot has a single-storey open-sided factory.
IHH HEALTHCARE COMPLETES ACQUISITION OF ISLAND HOSPITAL IN PENANG FOR RM3.9 BILLION
The Edge, 05/11/2024
IHH Healthcare has completed the acquisition of Island Hospital, a 600-bed facility in Penang, for an equity consideration of approximately RM3.9 billion. The acquisition supports the government’s vision to establish the country as a “leading hub for medical tourism, attracting international patients seeking cutting-edge treatment and exceptional care”.
SABAH PAN BORNEO HIGHWAY PHASE 1A REACHES 78% PROGRESS
The Edge, 08/11/2024
The physical progress of the Sabah Pan Borneo Highway (LPB) Phase 1A project stands at 78% and is expected to be completed by 1Q26. Phase 1B of the project has reached 2.4% progress, with completion set for 2029. Phase 1, covering an estimated total distance of 706km, is divided into 35 work packages, with 16 packages under Phase 1A and the remaining 19 packages under Phase 1B.
SCIB BUYS BINTULU LAND FOR RM18.4 MILLION
The Star, 07/11/2024
Sarawak Consolidated Industries Bhd (SCIB) is acquiring four plots of land totalling 18.14 acres in Bintulu, Sarawak, from Wong Kwong Hie Enterprise Sdn Bhd and James Wong Hee Beng for RM18.41 million. The acquisition of the land is to jointly develop and construct residential housing projects that use SCIB’s manufactured products. The properties will be converted into mixed developments that brings sustainable revenue in both engineering, procurement, construction and commissioning and manufacturing segments.
