By Samantha Tan Chiew Tieng
PUTRAJAYA, Feb 25 (Bernama) -- The Ministry of Investment, Trade and Industry (MITI) is taking proactive steps to strengthen investors' confidence, including reviewing the Industrial Coordination Act (ICA) 1975.
MITI’s Senior Director of Investment Policy and Trade Facilitation, Dr Ummi Nasrah Othman, said the review aims to enhance transparency and streamline processes for investors.
"Under the review, the application form for the Manufacturing Licence will be tailored to the company's size and industry type. Small companies in non-sensitive industries will complete a shorter form with fewer information requirements.
"With the review, we want to facilitate and simplify the process for investors to submit their applications," she told Bernama at the Good Governance Conference (GGC) 2025 on Monday.
MITI is also strengthening collaboration with relevant agencies, including exploring partnerships with local authorities, she said.
One focus of the review is updating licensing criteria to align with the definition of small and medium enterprises (SMEs) set by the National Entrepreneur and SME Development Council. This ensures consistency in national policy, fair access to benefits, and efficient regulation.
In April last year, MITI Minister Tengku Datuk Seri Zafrul Abdul Aziz said the government was mulling a proposal to review the ICA 1975, as it had never been revised since 1976.
The ICA 1975 was introduced to maintain orderly development and growth in the country’s manufacturing sector.
The Act is expected to be replaced by the Industrial Development Bill 2025, which aims to create a business-friendly environment, improve the ease of doing business, and enhance Malaysia's position as a regional manufacturing hub.
Over the past year, MITI has engaged extensively with stakeholders, particularly industry players, to gather input on the proposed amendments.
A recent town hall session, officiated by MITI Deputy Minister Liew Chin Tong, sought further feedback before finalising policy decisions. The proposed amendments are available on the Unified Public Consultation portal, with public submissions open until April 13.
Another key initiative undertaken by MITI to facilitate investors' journeys was the establishment of the Invest Malaysia Facilitation Centre last year, where several relevant agencies were placed under one roof to speed up various approval processes, provide consultation and advisory services, and reduce bureaucracy in public service delivery.
Ummi Nasrah also said that good governance is crucial for creating a stable investment climate, fostering trust, and ensuring legal protection for investors.
"A strong governance framework improves risk assessment and encourages long-term investments, making Malaysia a favourable environment for foreign investors," she added.
GGC 2025 was jointly organised by the Malaysian Anti-Corruption Commission and the Malaysian Institute of Integrity under the theme ‘Advancing the Country’s Image Through Governance Reforms: Policy-Performance-People’.
-- BERNAMA
