Essay About Main Targets And Economic Transformation Programme

Economic Transformation Programme Traget
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Economic Transformation Programme (ETP) have three main targets which are high income target, inclusiveness target and sustainability target (Varietymalaysia.blogspot.com, 2014).         High income target aims to achieve a large service sector, higher domestic demand and greater productivity levels (Din Merican: the Malaysian DJ Blogger, 2014). Hence, it’s targeting Gross National Income (GNI) per capita to go to the target of USD15,000 by year 2020. This will be achieved by attracting US$444 billion in investments and create 3.3 million new jobs. With creating a lot more high-paying jobs, citizen can get benefit. Based on World Bank’s benchmark estimation using nominal value and Atlas method, Malaysia’s Gross National Income (GNI) per capita grew an impressive 42.5 percent from USD7,059 in 2009 to USD10,060 in 2013 (Etp.pemandu.gov.my, 2014). It is also projected that Malaysia will be able to achieve the targets set if GNI grows by 6% per annum (Nawam.com.my, n.d.).        Other than that, Economic Transformation Programme’s inclusiveness target aims to enable all Malaysian to benefit from the wealth of country, which means that it aimed to reduce inequality gaps and enjoy and share the fruits of growth. The lowest sections of the economy will be specially targeted so as to improve their income levels (New Mandala, 2014). Therefore, focus will be given to households from lowest 40% income group.         Besides that, sustainability target is to meets present needs without compromising future generations. One of the criteria for sustainable target is manageable debt level, which is a growth model that is environmentally and fiscally sustainable (New Mandala, 2014). Debt may be needed when saving is insufficient to reach needed investment level. Continuous threat of global recession has also prompted the government having deficit budgets, which are financed by debt.  Furthermore, Malaysia’s fiscal profligacy hitherto warrants more attention. The concern over the environment is commendable (Din Merican: the Malaysian DJ Blogger, 2014).References:Varietymalaysia.blogspot.com, (2014). Variety Malaysia: Can transformation close the gap?. [online] Available at: