High-impact Developers To Get Stronger Govt Support - Mohd Shahar
KUALA LUMPUR, May 19 (Bernama) -- Developers with projects that deliver strong social and environmental returns and align with regional priorities will receive stronger government backing, said Deputy Economy Minister Datuk Mohd Shahar Abdullah.
This includes faster approvals, infrastructure coordination and improved access to financing facilities under the upcoming construction sector reforms, undertaken by the government.
Mohd Shahar highlighted that the government would undertake a construction reform study, covering the entire project life cycle under the 13th Malaysia Plan (13MP) to strengthen and enhance the capabilities and capacities of the nation’s construction industry.
“The study is aimed at restructuring the sector through the establishment of a more comprehensive regulatory and legal framework covering construction, asset management, infrastructure, and professional construction services,” he said.
Mohd Shahar said this in his keynote address at ‘The 13th Malaysia Plan and State of the Economy - Impact on the Building and Property Industry as Growth Drivers’, held in conjunction with the Malaysia Building and Property Summit 2026 here today.
Elaborating on the 13MP for the building and property industry, he said the industry must directly confront the affordable housing mismatch, given that Malaysia has 32,801 completed but unsold residential units, valued at RM16.37 billion as of the first quarter of 2026.
"The market is telling us something clear. The mismatch is not in demand. The mismatch is in what is being built versus what most Malaysians can actually afford.
"This is why housing reform is among the priorities in the 13MP to address the cost of living and enhance the people’s well-being," he said.
Meanwhile, focus would also be on the catalytic development and regional rebalancing, namely the Johor–Singapore Special Economic Zone, mega-connectivity projects like the East Coast Rail Link, the Pan Borneo Highway, and Mass Rapid Transit 3 (MRT3) in the Klang Valley.
"Under our new measurement framework, projects will be evaluated not only in terms of economic contribution but also on spatial integration, social impact, environmental footprint, and governance," said Mohd Shahar.
He also said that the government remained committed to strengthening the adoption of Building Information Modelling (BIM) through the provision of a conducive working environment, facilities, and training by July 2026.
The initiative, amongst others, aimed to reduce design conflicts towards achieving a more efficient and high-quality delivery of national construction projects.
At the same time, he said public-private partnership (PPP) would be strengthened across affordable housing delivery, urban regeneration of older townships, transit-oriented development around rail corridors, and brownfield redevelopment.
"PPP becomes essential, not optional. When fiscal space at the federal level tightens, private capital and private execution must step up to carry more of the load.
"This is not a retreat from the government's role; it is a recalibration," he said.
Additionally, Mohd Shahar also proposed to the Master Builders Association Malaysia and contractors to invest alongside the government in upskilling Malaysian construction professionals, namely in technical and vocational education and training, Construction Industry Development Board’s upskilling and IBS (Industrialised Building System)-related training.
-- BERNAMA