SHAH ALAM: Malaysia registered a productivity growth of 2.3% last year to a productivity level of RM60,437 from RM59,064 in 2012.
Based on the Productivity Report 2013/2014 which was launched yesterday by the Minister of International Trade and Industry (MITI), Datuk Seri Mustapa Mohamed, the growth has helped Malaysia’s gross domestic product (GDP) to expand 4.7% to RM786.69 billion in 2013, supported by growth in employment of 2.3%.
In his speech at the launch, Mustapa said the 2.3% growth in labour productivity compared to 2% in 2012 could be attributed to the performance of key sectors of the economy, as well as technological progress, capital deepening and widening and the quality of labour.
“In this report, Malaysia Productivity Corp (MPC) has emphasised the productivity framework which is based on shared Malaysian values of collaboration, coordination, communication and competency that drives national development agendas such as the Economic Transformation Programme, the Government Transformation Plan and the Malaysia Plans,” he said.
According to the productivity report, the services and construction sectors performed well in 2013, with labour productivity growing by 4.8% and 5.2% respectively. However, labour productivity in the agriculture sector declined by 3.5%.
The report added that MPC has formulated a few recommendations to address the issues facing Malaysia’s productivity goals such as to nurture a competitive and productive mindset, promote incentives within targeted industries and strengthen regulatory review to boost productivity. — Bernama
This article first appeared in The Edge Financial Daily, on June 26, 2014.