The Northern Corridor Implementation Authority’s (NCIA) will continue its collaboration with Ministry of International Trade and Industry (MITI) to develop a conducive economic and talent ecosystem to sustain the Northern Corridor Economic Region’s (NCER) stellar performance for the past two years as a top investment destination.
“We welcome efforts by YB Tengku Datuk Seri Utama Zafrul Bin Tengku Abdul Aziz, Minister of MITI in restoring investor confidence and increase FDI as one of the top priorities by the Ministry. NCIA will continue to strengthen investor confidence in NCER beyond the E&E, M&E and medical devices sectors particularly in the development of industry relevant, high value, high-tech and high-skilled local talent”, said the Chief Executive of NCIA, Mr. Mohamad Haris Kader Sultan today.
“The upward trend in investments in NCER for the past two years demonstrates the industry’s confidence in NCIA’s ability to provide world-class investor facilitation and NCER’s strategic location as a gateway to the major trading countries in Asia such as China, India, Thailand and Indonesia. In addition, the region’s matured and competitive ecosystem, particularly in the E&E, M&E and medical devices sector”, said Mohamad Haris.
“In ensuring the Honourable YB Minister’s priorities are met and ensuring that trade remains a robust key growth driver for the nation, NCER is also facilitating in enhancing industry players to become more export oriented by providing them with incentives to lower the cost of business, be more competitive globally, having access to various markets and in the area of compliance, are certified by independent professional bodies as a license to operate internationally.
“However, we must also be wary of the economic headwinds that are predicted to affect the global economy next year. NCER is mindful of the daunting task of reigning in inflationary pressures as well as the high cost incurred in the Technology Cold War between the US and China as well as the ongoing war between Russia and Ukraine that disrupts global supply-chain,” added Mohamad Haris.
Despite these challenges, it is also an opportunity for industry players in NCER to strengthen their operations and enhance their talent via new investments. This is especially true for the semiconductor industry as there is an all-time high demand for automotive chips globally and the growing chip shortage is prompting the automotive industry to order surplus semiconductors to ensure inventory and safeguard production timelines.
In light of these opportunities, NCER is looking forward to more collaborations with MITI in promoting the region as a preferred investment destination of choice for players in the E&E, M&E and medical devices sector.
The region has indeed seen several economic downturns over the years and NCER is therefore confident that the ecosystem is robust enough to adapt to overcome these impending challenges. Even before its inception in 2007, NCER is an economic region that has evolved tremendously in the past 50 years, navigating its way through various economic recessions. The region has now established itself as a business and industry-friendly investment destination, adopting world-class delivery standards and governance to cater to the needs of multinational corporations (MNCs).
As a result, many of these MNCs have made additional investments throughout the years and firmly made NCER as one of their global business and global supply chain hubs. NCER has now developed into a highly efficient technical and business support ecosystem that facilitates private sector participation in the region.
The mature and complete high-value industrial and economic ecosystem in the NCER has made the region a thriving investment hub for the semi-conductor, equipment manufacturing and medical devices technology industries. This has helped position NCER as the country’s industrialization hub and a key focal point for investment inflows and external trade.
In addition, NCER has always had a steady supply of industry-relevant talent that is developed through NCER’s upskilling programmes, on-the-job training at various business establishments and regular industry – academia engagements.
By encouraging innovation and strengthening the industry ecosystem in NCER, initiatives such as NCER Technology Innovation Centre (NTIC) will solidify NCER’s position as a technology, skilled talent and innovation hub for the region,” concluded Mohamad Haris.
In strengthening the ecosystem in NCER, sustainability is now an important element applied by NCIA in implementing a balanced socioeconomic development in the region, in line with the vision of Growth with Equity. Sustainability development in this region is guided by three main references, namely the NCER Strategic Development Plan (2021-2025) or SDP which is in line with the national abd state level sustainability agenda; the Sustainable Development Goals (SDGs) of the United Nations; as well as compliance with Environment, Social and Governance (ESG) Standards. This can be seen from the development of industrial parks in NCER with the concept of “Eco-Industrial Park” whereby the design and management model are in accordance with the standards developed by SIRIM Berhad in collaboration with NCIA.
With a robust and adaptive ecosystem in place, NCIA will continue to work with MITI and MIDA to bring high impact investments, domestic and foreign, to the NCER to strengthen and sustain the country’s economic growth momentum. To that end, NCIA is looking forward to more collaborations with MITI, MIDA as well as the state governments of Perlis, Kedah, Penang and Perak as we move forward into 2023 and beyond. The region is ready to invest in new technologies and innovation to remain competitive and relevant for the current and future economic landscape.
