Dear All,

Prime Minister Datuk Seri Abdullah Ahmad Badawi launched themuch-awaited Sabah Development Corridor (SDC) on Jan 29. The different between SDC from the other regional development corridors launched todate is that it covers the entire State.

The 18-year development blueprint, drafted by the Institute forDevelopment Studies, Sabah (IDS), is expected to focus on theagriculture, manufacturing as well as tourism and services sectors.

The SDC would promote Sabah as the preferred manufacturing locationfor resource-based industries, a premium tourism destination and a suitable site for high-value agriculture, given the State's strategiclocation, natural resources, diverse cultures and heritage and aquality of life within a clean environment.

Meanwhile, the Chief Minister of Sabah said the State's infrastructure facilities, in particular roads, electricity and water supply, would be upgraded.

ISKANDAR PROJECTS RM10 BILLION INVESTMENTS THIS YEAR

The Iskandar Development Region (Iskandar), the south region economiccorridor, which is currently in the third phase of development, expects to draw some RM10 billion in investments this year.

Of the amount, RM8 billion or 80% of the total would be from the manufacturing sector.

From 2006 to 2007, Iskandar received over RM20 billion, accounting for more than 40% of the targeted total investments of RM47 billion for the 5-year period from 2006 to 2010.

Meanwhile, some RM6.1 billion has been allocated for the construction of new intersections, highways and upgrading of existing roads, as well as river clean up, sewerage and a flood mitigation system in Iskandar.

At the same time Iskandar is poised to see major developments in the property sector, with more than 25 major developers having submitted plans for housing, commercial and mixed development projects.

Merrill Lynch: Asia poised for strong growth, positive outlook on Malaysia equities

Merrill Lynch, a leading global wealth management, capital markets  and advisory company, expects Asia to experience strong growth this year, with the economic outlook for the US believed to be range bound, projected to grow at 1.5%.

Merrill Lynch is also positive on the Malaysian equity market, as the robust performance in the commodities sector, which accounted for one third of Malaysia's exports, is expected to strongly drive the economy
to a projected 6% growth this year.

The Malaysian Ringgit (RM) is also expected to appreciate by 7% while, corporate earnings for Malaysian companies are expected to grow by at
least 15% in 2008.

The financial sector in the country is also strong, with banks performing rather well in terms of loan growth. Some banks are expected to register increases by about 30%.

Thank you and best regards.

“TOGETHER WE ACHIEVE EXCELLENCE”

Yours in MAICCI,