Najib Razak said the New Economic Model (NEM) would emphasise on more equitable opportunities so that each and every Malaysian would be able to realise their maximum potential.

The prime minister said the government would also identify new sources of growth, both in terms of where the growth was going to come from, plus looking at new markets.

NONE He said under the NEM, to be unveiled at the end of this month, there would be great emphasis on creativity and innovation.

"I believe innovation is a very important element in terms of transforming Malaysia," he said in his 1Malaysia blog posting under ‘Responding to Comments - The New Economic Model’.

Stressing that all these were some of the important principles and strategic thrusts that would underpin the NEM, Najib said an important ingredient would be the ability of the administrative system to deliver and be accountable for its performance.

"...and in this sense, this is also linked to our government's Transformation Programme, which seeks to transform the nation by making tremendous leaps and bounds in six very important strategic areas," he said.

Slashing subsidies

Najib also pointed out that there were some difficult challenges to overcome.

"For example, how do we remove over-dependence on subsidies, so that we can channel more resources towards more productive investment, and therefore improve our economic performance, our GDP (Gross Domestic Product) growth, but at the same time, be mindful of the fact that there are Malaysians, not only hardcore poor Malaysians but Malaysians who are relatively poor, the vulnerable groups," he said.

In this context, he said, one of the essential elements of the NEM was to look after the welfare of the people by increasing or strengthening the social safety net.

"Above all, the entire philosophy and approach would be predicated on the concept of 1Malaysia, never forgetting that each and every ethnic group has and can play an important part in not only contributing towards Malaysia, but in strengthening national unity so that we become One People, One Nation, bound by a single vision," he said.

- Bernama