MBAM: Budget 2022 does not offer much for construction industry

KUALA LUMPUR: The Master Builders Association Malaysia (MBAM) has expressed its gratitude to the government for some construction projects announced in Budget 2022, but believes they are insufficient for the industry at large.

In a statement, MBAM secretary-general Datuk Seri Eric Kuan Khian Leng said the majority of the projects announced are smaller-scale projects to enhance public infrastructure that would benefit some of the industry players, mainly contractors in the G1 to G4 categories.

"Generally, we are expecting a more uplifting Budget 2022 announcement for the construction industry.

"Disappointingly, there were no announcements on new mega infrastructure projects to pump prime the revival of the construction sector.

"We are appealing to the government to provide more assistance for the construction industry to revive and sustain the sector," he said in reaction to Budget 2022 announced today.

Nevertheless, MBAM supports the government's announcement to upskill local talents through the Technical and Vocational Education and Training (TVET) programme as the Malaysian construction industry is still overly reliant on unskilled foreign labour.

"We really hope this initiative will prepare the industry with more local talent to overcome the shortage of foreign workers, however, this will take a long time as the industry is in need of new foreign workers now to help with the recovery. We hope the process to bring them will be faster," it said.

The projects announced today include building eight new blocks for special education, RM1.5 billion to continue housing projects for low-income group, RM1.5 billion to build a 519km rural roads, and RM107 million to instal street lights and maintenance works in villages, upgrade dilapidated bridges and preliminary works for new bridges.

The government also announced the continuation of existing projects comprising the implementation of national infrastructure development projects worth RM3.5 billion such as the construction of the Pan Borneo Highway and Central Spine Road, and RM2.9 billion for the continuation of small and medium-sized projects for G1 to G4 contractors.

-- BERNAMA