Malaysia BUDGET 2018 Benefits Malaysia’s Internet Industry?
With the announcement of Budget 2018, everyone is excited about how it can give a boost to the economy of the country.
Indeed, much emphasis is placed on various sectors, which include the development of DFTZ, entrepreneurship and SME development in the country.
Moreover, the government forecasts that SMEs in the country are expected to contribute 41% of GDP by 2020.
Excited? Let’s read on!
One Step Closer to Having The World’s First Digital Free Trade Zone & Digital Hub
Last year, announcement was made on the introduction of the world’s first digital free trade zone and digital hub, which aim to boost SME competitiveness in the global arena.
In Budget 2018 announced recently, we’ve seen an emphasis on the following, which will have both direct and indirect impacts on Malaysia’s Internet Business.
The Direct and Indirect Impacts on Internet Business
Digital Free Trade Zone
– RM83.5 million allocated for DFTZ in Aeropolis, KLIA.
Entrepreneurial Development (for Bumiputera)
– RM555 million for Bumiputera Entrepreneurship Enhancement Programme (RM200 million for PUNB Entrepreneurship Programme and Business Premises; RM200 million for MARA Entrepreneurship; RM115 million for Vendor Capacity Programmes).
Entrepreneurial Development (for Indians and Chinese)
– RM50 million for Chinese SME loans through KOJADI.
*GST
- No change to Goods and Services Tax but government to propose either exemption or zerorising certain items and services.
– local councils
– reading materials
– cruise operators
– construction of schools and places of worship funded by approved donations
– oil and gas equipment imports under lease agreement
– import of big ticket items like planes and ships
– management and maintenance of homes with strata titles
Other Highlights
- RM200 million allocated for training programmes, grants and SME easy loans under SME Corp; and close to RM82 million for halal products and industry development.
- RM5 billion allocated for start-up capital for businesses.
- RM7 billion allocated to Skim Jaminan Pembiayaan Perniagaan.
Reference: Budget 2018 highlights, www.freemalaysiatoday.com
