Malaysia on Wednesday announced tax incentives to boost oil production.
Country s Prime Minister Najib Razak also set out plans for billions of dollars in infrastructure investment as part of its bid to create millions of new jobs and double national income by 2020.
Speaking to newsmen here, he said "By lowering risks and increasing the rewards for oil and gas investment, this initiative will potentially lead to additional petroleum-generated revenue of more than RM50 billion for Malaysia over the next 20 years .
Malaysia is set to become a net oil importer by 2012-13 and said it would cut tax rates for the development of new oil and gas resources and enhancing recovery from depleted fields.
The tax incentives will cost the country RM8 billion in foregone revenues for state oil giant Petronas which provides almost half of all government revenues, Najib said.
Malaysia has become increasingly unattractive as an investment destination. Foreign direct investment here fell to just 3.8 per cent of the total flowing into Southeast Asia in 2009, down from almost 40 per cent in the early 1990s, according to United Nations data.!
Najib's earlier announcements that the government would generate $144 billion in investments over the next 10 years, mostly from the private sector, were greeted with scepticism, although today's firm numbers and tax changes were significant.
Country s Prime Minister Najib Razak also set out plans for billions of dollars in infrastructure investment as part of its bid to create millions of new jobs and double national income by 2020.
Speaking to newsmen here, he said "By lowering risks and increasing the rewards for oil and gas investment, this initiative will potentially lead to additional petroleum-generated revenue of more than RM50 billion for Malaysia over the next 20 years .
Malaysia is set to become a net oil importer by 2012-13 and said it would cut tax rates for the development of new oil and gas resources and enhancing recovery from depleted fields.
The tax incentives will cost the country RM8 billion in foregone revenues for state oil giant Petronas which provides almost half of all government revenues, Najib said.
Malaysia has become increasingly unattractive as an investment destination. Foreign direct investment here fell to just 3.8 per cent of the total flowing into Southeast Asia in 2009, down from almost 40 per cent in the early 1990s, according to United Nations data.!
Najib's earlier announcements that the government would generate $144 billion in investments over the next 10 years, mostly from the private sector, were greeted with scepticism, although today's firm numbers and tax changes were significant.
