The government has lamented that the private sector had failed as an ‘engine of growth’, as it had placed great reliance on the private sector to lift the Malaysian economy out of the recession and doldrums.
However, the government should take a deeper look at the problem as to why there appears to be a lack of private investor confidence in Malaysia. The government has announced a review and proposed changes to the Industrial Co-ordination Act. When the DAP warned in the 1970s that the ICA is the greatest dampener of domestic private investment, this was disputed by the Barisan Nasional government. Now, the government had to admit that what the DAP had been saying for the last decade was correct.
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