KUALA LUMPUR (Oct 21): Public Bank Bhd welcomed the government's move to continue pro-business measures in stimulating private investments in major infrastructure projects and economic corridors.

"The introduction of the new scheme of income tax for companies would help to lower the cost of business and stimulate further growth of businesses including the small and medium enterprises," said its founder and chairman Tan Sri Teh Hong Piow.

Teh also welcomed Putrajaya's wide-ranging and targeted measures to enhance the well-being of the rakyat, particularly the lower-income group.

"Budget 2017 reflects significant strategies and initiatives to address the need of the rakyat," he said in his written comments on Budget 2017.

Teh said Malaysia should remain on track to achieve a near balanced budget as the economy progresses into a high-income nation by 2020.

"We view positively the government's commitment to address the nation's fiscal challenges. Budget 2017 affirms the ongoing fiscal reforms," he said.

He added that prudent fiscal spending together with an expected increase in government revenue enables further reduction in budget deficit to 3% of gross domestic product in 2017.