M'sians are now more productive
Tuesday, May 22, 2007
MALAYSIANS are now more productive as evident in the 3.7 per cent productivity growth the highest recorded in the last six years, its Minister of International Trade and Industry Rafidah Aziz said yesterday.
"In 2005, the country registered a productivity growth of 2.98 per cent to RM26,255," Rafidah said in her keynote address at the launch of National Productivity Corp's (NPC) Productivity Report 2006 here today.
She said last year's productivity growth surpassed that of some Organisation for Economic Cooperation Development countries such as Sweden (2.8 per cent), Japan (2.5 per cent), Germany (2.0 per cent), the US (1.5 per cent), UK (1.7 per cent), France (1.4 per cent), Australia (1.0 perc ent) and Canada (1.0 per cent). "Malaysia was also ahead of Thailand (3.5 per cent), Taiwan (2.7 per cent) and Singapore (1.2 per cent)," she said.
Rafidah said during the year, manufacturing sector registered productivity growth of 4.4 per cent, driven mainly by strong performance of export-oriented industries namely, petroleum and plastic products, basic industrial chemicals, wires and cables as well as semiconductors.
"The non-government services sector registered 2.6 percent productivity growth, with the utilities sector expanded by 4.5 per cent, finance and transport sector grew by 4.1 per cent while commerce and trade registered 2.2 per cent growth," she said.
She said the total factor productivity (TFP) was an important contributor to the gross domestic product (GDP) and during the period 1997-2006, the economy has registered an average annual TFP growth of 1.6 per cent.
"This trend will positively contribute towards realising the targeted 2.2 perc ent TFP growth by 2010," she said.
Among the various components of TFP registered productivity growth last year were labour, which increased by 2.1 per cent, capital (1.9 per cent), education and training (35.6 per cent), demand intensity (23.7 per cent), capital structure (19.3 per cent), economic restructuring (12.9 per cent) and technical progress (8.9 per cent).
Rafidah said the efforts by the government to improve the public services delivery system and to enhance the business environment could assist in increasing productivity levels of business entities.
She called on the private sector to take initiatives at both in-house and industry levels to invest in human capital in order to upgrade knowledge and skills, adopt best practices and apply relevant technology.
These steps are necessary to achieve organisational excellence and higher added value, she added.
"The government will continue to identify and remove administrative constraints, which add to the cost of doing business and institute the necessary measures and initiatives to help in cost reduction and enhancement of efficiency and competitiveness," said Rafidah.
She said NPC on its part had has initiated online programmes which can benefit companies. Bernama
"In 2005, the country registered a productivity growth of 2.98 per cent to RM26,255," Rafidah said in her keynote address at the launch of National Productivity Corp's (NPC) Productivity Report 2006 here today.
She said last year's productivity growth surpassed that of some Organisation for Economic Cooperation Development countries such as Sweden (2.8 per cent), Japan (2.5 per cent), Germany (2.0 per cent), the US (1.5 per cent), UK (1.7 per cent), France (1.4 per cent), Australia (1.0 perc ent) and Canada (1.0 per cent). "Malaysia was also ahead of Thailand (3.5 per cent), Taiwan (2.7 per cent) and Singapore (1.2 per cent)," she said.
Rafidah said during the year, manufacturing sector registered productivity growth of 4.4 per cent, driven mainly by strong performance of export-oriented industries namely, petroleum and plastic products, basic industrial chemicals, wires and cables as well as semiconductors.
"The non-government services sector registered 2.6 percent productivity growth, with the utilities sector expanded by 4.5 per cent, finance and transport sector grew by 4.1 per cent while commerce and trade registered 2.2 per cent growth," she said.
She said the total factor productivity (TFP) was an important contributor to the gross domestic product (GDP) and during the period 1997-2006, the economy has registered an average annual TFP growth of 1.6 per cent.
"This trend will positively contribute towards realising the targeted 2.2 perc ent TFP growth by 2010," she said.
Among the various components of TFP registered productivity growth last year were labour, which increased by 2.1 per cent, capital (1.9 per cent), education and training (35.6 per cent), demand intensity (23.7 per cent), capital structure (19.3 per cent), economic restructuring (12.9 per cent) and technical progress (8.9 per cent).
Rafidah said the efforts by the government to improve the public services delivery system and to enhance the business environment could assist in increasing productivity levels of business entities.
She called on the private sector to take initiatives at both in-house and industry levels to invest in human capital in order to upgrade knowledge and skills, adopt best practices and apply relevant technology.
These steps are necessary to achieve organisational excellence and higher added value, she added.
"The government will continue to identify and remove administrative constraints, which add to the cost of doing business and institute the necessary measures and initiatives to help in cost reduction and enhancement of efficiency and competitiveness," said Rafidah.
She said NPC on its part had has initiated online programmes which can benefit companies. Bernama
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