KUALA LUMPUR, Oct. 27 (Xinhua) -- Malaysian Prime Minister Najib Razak on Friday proposed an allocation of 280.25 billion ringgit (61.47 billion U.S. dollars) for the 2018 budget, up from last year's 260.8 billion ringgit.
Najib, who is also the finance minister, revealed the budget at the parliament. He projected a total revenue of 239.86 billion ringgit in 2018 for the government
"The government is committed to implement fiscal consolidation measures and to ensure that the government's financial position continues to be resilient, and debt level remains low in the medium and long-terms," he said.
To improve the country's connectivity, he said the government will continue to improve the logistics and transport infrastructure, highlighting the East Coast Rail Link (ECRL), a major railway project linking Malaysia's underdeveloped east coastal area with the more developed west region, and the Kuala Lumpur-Singapore High Speed Rail.
He also proposed to allocate a total of 110 million ringgit to provide an alternative road to Port Klang to smoothen and complement the transportation network.
Najib also declared Pulau Pangkor, an island in Peninsular Malaysia west coast, as duty-free island. However, the duty-free status excludes products such as alcoholic beverages, tobacco and motor vehicles.
The Malaysian government will also upgrade the two airports in Penang and Langkawi, two major tourist attractions, build a new airport in Mukah, a small town in the eastern state of Sarawak, and expand two airports.
To stimulate development in Labuan, the government will also conduct a feasibility study for the construction of a bridge connecting Labuan with the mainland in Sabah.
The Malaysian government will provide a fund of 83.5 million ringgit to construct infrastructure for the first phase of Digital Free Trade Zone (DFTZ) in Aeropolis, Kuala Lumpur International Airport (KLIA), Najib said.
"Malaysia will be the first in the world outside China to establish a DFTZ. It will transform KLIA as the regional gateway," he said.
The first phase of DFTZ aims for 1,500 small and medium enterprises to participate in digital economy and is expected to attract 700 million ringgit worth of investment and create 2,500 job opportunities.(1 U.S. dollar equals 4.24 Malaysian Ringgit)
