2014-02-07 23:27:01 - Malaysia Infrastructure Report Q1 2014 - a new market research report on companiesandmarkets.com
Despite a strong performance by the residential and non-residential buildings sector in Q313, we continue to expect construction activity in Malaysia to slow its pace of expansion in 2014. This is because we expect the demand for residential and non-residential buildings to fall in 2014, while fiscal concerns will continue to present financing risks for public-funded projects, particularly within the infrastructure sector. Having said that, the government has been very successful in attracting foreign and private sector parties to implement and finance its investment plans, and we believe this success is a positive tailwind for construction activity.
Key developments that will impact growth:
- In September 2013, the Malaysian government stated that it will invest MYR160bn (US$49bn) in the development of the
country´s rail infrastructure, reports Railway Technology. The investment will be used to develop three lines of the mass rapid transit system, as well as the new Malaysia-Singapore highspeed railway line. The 330km-long line will reduce the time taken to travel between the two countries to approximately 90 minutes. The investment will be made in the period up to 2020.
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