Industrialized Building Systems: Strategic Outlook for Manufactured Construction in Malaysia
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The Malaysian construction industry (CI) orchestrates an essential role in generating wealth for the nation and facilitates the development of the social and economic well-being of the country. In 2006, the industry employed an estimated 800,000 people, which represented 8% of the total workforce [Construction Industry Development Board (CIDB) 2006]. This industry grew at 5.3% in 2007 and contributed 2.1% to the total gross domestic product (GDP) for Malaysia (CIDB 2008), creating a multiplier effect for other industries to expand and develop, including the manufacturing sector, finance and banking, agriculture, and mining and professional services. The estimated construction demand under the ninth Malaysia Plan spanning from 2006 to 2010 is in the region of RM280 billion or £56 billion (exchange rate is approximately £1 = RM5 as of November 27, 2010), an average of RM56 billion per year in the stipulated time frame [Economic Planning Unit (EPU) 2006]. Further analysis shows RM120 billion demand will come from public spending, RM140 billion is contributed by the private sector, and another RM20 billion is under the private finance initiatives (PFIs) (CIDB 2007).
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