Neutral impact from GST

Published: Thursday November 7, 2013 MYT 12:00:00 AM 

Updated: Thursday November 7, 2013 MYT 7:19:26 AM

From left: MCCC publication committee chairman Raymond Chin, TNT Express 

Worldwide (M) Sdn Bhd managing director S.C. Chong, MCCC president 

Datuk Bong Hon Liong, MCEC organising chairman Alice Lee Sok Wah and Lai at the briefing.

KUALA LUMPUR: The goods and services tax (GST) is “fair” and its effects will be felt in the long term, says the Malaysia-China Chamber of Commerce (MCCC).

Its fiscal and economic research committee deputy chairman Datuk Kevin Lai said that the tax would have a neutral impact on businesses.

“It has been implemented successfully in other countries and we believe that this may impact the low-income group but it will help the country and the people in the long run,” Lai said.

He said this after a briefing to announce 12 speakers for the Malaysia-China Entrepreneur Conference (MCEC), which will be held on Dec 1 in Putrajaya

Meanwhile, Lai said more activities and development were expected in the economy next year with the announcement of various mega projects under the Budget 2014.

“Without these projects, the economy would probably slow down. The projects are necessary, particularly for the construction industry,” he said.

On the Government’s 5.5% gross domestic product growth forecast for this year, Lai said: “Last year, we could do it (at 5.6%). With the dynamic effort from the Government in various industries and the promotion of more infrastructure projects, we should be able to achieve at least 5% this year.”

The third edition of Malaysia-China Entrepreneur Conference has so far has attracted about 600 local businesses and 350 China firms.

Organising chairman Alice Lee said other Asian and Middle Eastern entrepreneurs had also expressed interest.

“We will also provide a platform for all five economic corridors at the conference this year to better introduce the local industries to the participants,” she said.

The chamber of commerce estimates the conference could easily generate RM100mil worth of businesses between Malaysian and Chinese companies.

Malaysia is the top Asean trade partner for China.