l2 Monusiodon MosyorokolJilid

In

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OFTHEIiAALAYSIAN ANDTRANSFORMATION THEGROWTH PIANNING FOR DEVELOPMENT AND THEI'',IPLICATIONS ECONOMY

ForzoAb.Ghoffot'
Abslrok telohmengolomi Moloysio khususnyo, donSemenonjung Moloysio omnyo 1970 diontoro tohun{ohun perlumbuhon yongpesol lerutomqnyo ekonomi .l997. podolewotlohun ekonomi krisis l990on,sebelum dilqndo hinggo nosionol disertoi di peringkol Pertumbuhon ekonomi iugoolehperubohon yongbergonlung perubohon negoro doripodo sebuoh slruklur ekonomi ioilu sebuqh perfonion kepodo podo primer donperlombongon seklor terulomonyo struklur sertoperubohon perinduslrion. ekonomi Perlumbuhon negoro podoperingkol yongberloku podoperingkotnosionol iniiugoberloku ekonomi lidoksemuo bogoimonopun, Wolou ioilupodonegeri-negeri. sub-nosionol yongsomodon mengolomi lronsformosi pertumbuhon negeri menikmoli peringkot kerono podo nosionol. Oleh yong dengon bedoku seloros ekonomi pembongunon negeridionloro kelokseimbongon mosoloh inimoko wuiudloh yongmelondo ekonomi kemeleselon diiongko Adoloh negeri di Moloysio. .l997 yonglebihburuk terhodop keson podolewot mempunyoi negoro qroholiron pertumbuhon inicubomengeson Kertoskerio lersebul. mosoloh yongberloku ini di di negoro ekonomi slruktur ekonomi serlqperubohan perlumbuhon don Podomosoyongsomcr onlorodekod1970-90on. Moloysio perubohon negeri-negeri di Semenoniung di peringkol shuklur p o domosol oh kel oksei mbongon lumpuon iugoo k o nd i k o i id e n g o n perkembongcn diotos implikosi pembongunon negeri.Akhirnyo. ontoro pembongunon okondi bincongkon. peroncongon di Moloysio kepodo

tNTRODUCT|OI.I osfor bockos the1950s, plonning conbetroced in Moloysio Developmenl qnd impocl direction in contenl, thechonge However, right ofterherindependence. wilh the New Economic plonninghos olwoysbeen ossocioted of developmenl o (NEPIwhich sincel97l ond sponned ond implemenled wos formulofed Policy the l99l Plon I {OPPll.Since periodof 20 yeors under the OullinePerspective 20 to spono periodof onolher theNEP reploced Flon(NDPI Development Nolionol plonning development of lhe NEP. lhe formulotion yeors beiween l99l-2010.Since ond of poverfyerodicolion with the twin obiectives hos been preoccupied period, hod. Moloysio to soylhol,overtheOPP1 Suffice of fhe society. reslructuring growth. Aportfrom the economic' economic o periodof fovouroble undergone Producl Domestic bylhe Gross growlhos meosured recession in lhe eorlyeighties. offecled bodly (GDPI wos rother whenthecounlry lole1997 until hodbeenincreosing by o growthwos olso occompqnied level, crisis.At the notionol lry on economic level. in poverty rr,.tiuclion

r A r!.,rt,tl sl ,1 1 6 'i 1 rr ltglnlr llr otr lllr ie,r r lr t;,lr y, lr tr r r llyr r lAtl' ,1tr l 'r tr l r l l 'r l uttt

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\t
don l,/lcsyorokolJilid 12 llonuslo

Growlh ond tonslotmollon of MttlttyrktrlErttlxrltlYlftll,rtll

growfhlr olro choroclerlzed by o sfructurol conomlc Moloyslon fromo lhetewos o lronsformolion Borlcolly, of lhe sconomy, tronsformotlon prlmory os cleorly econorny lo tholof on Indusfrlol economy, bosad subsislence offhcvorlous over theyeors. Besides conlribulions seclors oftheGDP inlerms seen inlro-secforol exlenf lhere hosolsobecnlo o lorge lronsformollon inler-seclorol growfh ondslruclurollronsformotion seclors, Economle inlhevorious fronsformolion theroleof ol lhislevel, ot thevorious slolelevols. Howevel hodolsooccurred ondinfernolfoclors. ondwlfhin sloles duefovorlous externol growth vories between porollel .Furlher ol lheslote level orenotoffen lo thol slruclurol lronsformolion more influence, tosome Inlernol foclors orlocotionol level. Due occurring ollhenotionol growlng ininduslries fholorefosf olthenolionol levelwhile some sloles speciolize regions resulted in lhedifferent rotes of growlhbetween olhers do not. Allthese foctors enhonced economic ondphysicol ondcombined wifhmony ofher sociol, poper This iolroce lhephoses between lhese stotes. otlempts lhelevel ofinequolity from 1970 to ond fhe slruclurol tronsformolion in Moloysio of economic Arowth levelwith lhegrowfh ondlronsformolion ol thestole 1990. ltwould olsoexomine inequolity lhe ofinter-stote ondfinolly exomines theoimofhighlighling lheproblem plonning fowords in lhe lrends ondpollerns developmenl implicolions of these country. TI{E MALAYSIAN ECONONAY UPTO1997 progress conbe regorded os o showcose of Moloysio's economic This isbeing reflected intheropid rote developmenl. success successfuleconomic growth or so. Thelrendin the ochieved overlheloslthree decodes of economic (GDP) growth l. Domestic Producl conbeseeninToble roleoflheGross (%lof AnnuolGmwlh Roie in ltrltoloysiq 1956-90 Tsble l. Averoge GDP
t956-60 l96l-65 r966-70 lpn-75 1976-80 r98r-85r986-90 I 1.4 6.2 10.0 lt.6 6.9 1.2 2.9 .l.0 (o OE, 7.8 6.0 5.4 2 9.4 n( 4.2 l t.7 6.7 8.9 3 5.5 6.2 4.5 10.4 8.3 7.8 8.7 4 5.8 9.3 :) 9.9 5.6 5.0 0.8 7.4 9.8 -t.t Averoqe 4.t 5.0 5.4 8.0 8.6 5.2 6.8
(l99ll ond Deporlment of Sfolistlcs, Source: BonkNegoro Moloyslo, 119921 ttbqr

toslruclurol odiusfment inlhenolionol Odeni economy. The momentum ofgrowlh plcked upogoin yeors especiolly inthelost lhree offheeighties, this very much due policies implemented lolhemocro-economic during theperiod between l9B3-8S. yeors continued intheeorly Growlh ofthe1990s, ondbetween 1991-1997, reolGDp peronnum. grew by8.9% Further evidences growth of slrong economic conolsobe seen fromfhe percopilo, ODP which is ocluolly iguresof lhe Reol lhe comporison between lhe growth rotes populotion. of lhe GDP ond lhe rote of Figure I shows thot, from frorvfh percopilo thereolGDP hodbeenincreosing. F6l to 1980, However, forreosons eorlier, il declined in theeorly eighties bulpicked up ogoin ilienlioned to 6.4% in period theSixth During Moloysio Plon 1991-96.lhe grew Moloysion 1991. economy wellondconlinued lo do sountil 1997. lf wosofter lole1997 thotthe
wos focedwilh onolhereconomic crisiswhen lhe GDPslumoedfo ils growthrolesbelween negofive 1997 -98.Theyeor2000however hosshown'

signs yeors. of oneconomic recovery inlhefollowing Frgurel: ReolGDPperaopib, Mdoyfo196l - 1995

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from 1994 Lin, towc: odopled

AI.ID TRANSFOR'ilANoi{ STRUCruRAT growth, Porollelwith the fovouroble ondsloble eco4omic fheMoloysion growlh of ll conbeseen fhofthemomenlum of hodincreosed fromfheoveroge phoses wenl through severol of lronsformotion, bolh between ondwithin peok period period the reoched of8,6% during the1976-80 4.1% during 1956-60, o perlod yeors, of oboul 35 there hove been significonl chonges inlhe Over o periods. inlhefollowing two Economic to5.2% ond6.8% respeclively buldecreosed preemlnence lhe ond lhe economy wlth Increoslng of monufocluring of growlh reochlng inthecounlry wosot ilshighest inthe1970s, fheoveroge close lo (Flgure In cerloin seclors, monufocfuring roclors 21, Meqnwhlle, nrulcg period. growfh 1973 In wosrecorded olo role 9% during fhe1976-80 Ihehighesl of .|980s, thelole Inlro-gulorol fronsformoflon occurs especlolly ofter olso ll,7%.lllnSeeYon,l994l. Thlswos,however,followedbyoderllnedurhglhceorly 1980s, economlc whlch wosvery much fothe world rcsn gru b tomc reloled

Economy of Moloysion {Fouzo} ondTronstormoflon Growth

|bruslq don lilosyorokql Jllld12

Productby Secior, Domestic Flgurc 2: Grcss 1990 1980, ond2000 1970,

seclor wos stillin ils infoncy oclivilies. Onlhe otherhond,lhe indusfriol Income induslries. ondimport subslitution onresource-bosed oncenfroling comein the eorly1970s, much Thebeginning of o slructurol chonge seclor. fromogricullure to monufocfuring wifhlhechonge ofemphosis otsocioled of importsubslilufion ond exporl-oriented led lo fhe implemenlolion Thls ogriculfure, resulted in o bellerbolonce between this chonge [dustriolizolion, unlilfodoy, lhe threedecodes seclors. During ond the service honufocluring seclors belween ond wifhinlhe vorious lronsformolion ilbslonliolslruclurol efforfs fhot onddiversificofion *cuned, verymuchin linewifhfhemodernizotion offheronge ofoctivilies nolonly inlerms occurred oul. Diversificofion ttre corried of growlh.Porollel Wlhfhisdevelopmenf, sources bul olsoincludes Std oufpul wereolso between ond withinsectors ond inlegrolion linkoges seclorol wos lhe growlhof lhe resullof thefronsformotion Themoslopporent growth increosed from10.3% roleofthissector The overoge seclor. .l0.5% lheogricullurol.seclor 1970-.|990 lo between l99l-98.Inconlrosl, peronnum inthe1970s fo 0.8% inlhe rofefrom57o ingrowth o decline

ond .|960s, moiorslrucfurolodiustments 1970-90wilnessed especiollybetween lhe .|970-80, wosslillthemoior contribulor sector lheprimory Between sconomy. ond80respectively. 34% in1970 ctnd oftheGDP bosed toobout387o wospredominontly occounling ODP economy theMoloysion Prior lo lndependence, in lo lhe GDP ltscontribufion wosbuoyont. consisled on theofher hond, which seclor seclor, trode. Iheprimory ferflory seclor ondonintemotionol ontheprimory oflhesluggish to40% in19B0 moinly oso resull ond declined butslighfly to boththeGDP wos44%, woso moior conkibutor ond mining of moinly ogricullure ondretail trode. cs ufililies. wholescle severol sub-seciors such oT lnlg5T,thesetwoseclorsconlribulecjoboui45.T%ond6l.3%ofihe empioymenf. to42% lheconlribufion increosed sub-seclors inthelolel9B0s sector offhese ogriculturol 1999). The tcvlvol respectively GDP ondemployment counlry's lOkposin, 2). followed by polmoil ond rice 1990'lToble octivilies, by rubberculfivotion wos dominoted Thissecfor octivities. extent ond forestry by fishery ond to o lesser cultivolion 1970,l98Oond 1990 Tqble2. GDPcontibulionsby sectrors Mining contributed oftheGDP ond58% oflheemployment. occounfed forobouf39% this Infoctduring respeclively. ondemploymenf totheGDP 6.4% ond2.8% oboul ol ond oboul2B7o eornings for 70%of export ond lin occounled lime,rubber (Lin seclor thislime,lhesecondory governmenf Yon, 1994 See eornings ). During ondtheir building ond conslruclion of q few lighlmonufocfuring, onlyconsisled smoll, ondlhoiwos wererelotively ondemploymenl to bolhlheGDP conlribution mostly fhese limes during oclivilies Monufocluring oboulll% ond9.6% respectively. ond equipmenl ond mining suchos repoir of plontofion of ocfivilies consisled produclswith cosf. The processing tronsporlolion ofbolhogriculturolproduceond os ontrode ilsdependence during lhoffime, especiolly oflheeconomy openness o seclor lrodemodetheiertiory services lo supporl wellos the needlo provide lo fhenolionol economy. significont conlributor

peronnum.Thus, grewol o low roleof oboul1.3?o theperiod inthe1990s

both os economy onogricullure oflheMoloysion heovy dependence The .|960s. The cJiiollgllc noture of untilthe confinued eorner ondemploymenl income prOducllvlfy olthough whcte woshowever very obvlous during lhotperiod lhls seclor wlrt !n90S fn lhr low In thlssocfot wosveryhlgh,mostof lhe populollon

(Fouzol Economy ol Moloysion ond Tronslormotlon Groryfh

Jilid12 lloruslo don /i,,losforokqt

monufocluring especiolly sector ofthesecondory ropid development The Thesector's developmenf. economic of Moloysion hos beenthe hollmork of which in 1990 to 33.3% in 1970 from16% doubled lo lhe GDP conlribufion lhis Underlying 19861. oboul2670 lMoloysio, olonecontribufed monufocfuring of the os o resull lorgely theseclor, wilhin phenomenon woslhelronsformofion lhewood-processing, included which induskies, of resource-bosed exponsion producls rubber footweor, products, ondclothing, textiles poim oilprocessing,lobocco 1990s there ond thelole1980s between However, ondplostic aoodiinduslries. sub-sector The conslruction induslries. ofthese inimportonce decline o slighl .wos lhe especiolly during during lhe1980s of9.6% increose o subslonliol recorded olso 1987' ofler lookploce which boom, conslruclion

of economic oclivities ofihe occruing fromlheogglomerolion in some odvontoge to lhetroditionol eosf-wesl dicholomy coosf sloleshodgivenpermonence west A noloble exception fofhispottern wosTrenggonu lheslofes inMoloysio. bdween the1980s hodmonoged to breok owoy fromlheronks of fheunder since Whlch posilion woslorgely duetothediscovery ondfhe This enhonced stoles. dcveloped which economic zone, folls under theiurisdiction ofoilintheexclusive tploilolion 0fthestote.

beobloined bytheonolysis of per ongrowth ot fhesfole level could deloil Furlher increosed thotgenerolly, GDP ofollslofes Toble 3 shows thepercopilo toplloGDP. wos furlher of 1970-80 ond in moslcoses ond 1980-90 lhetwo decodes 9V9r il wos noledthollhe overthefollowing decode.However, ]Fecled lo increose 1970-80 wosmorephenomenol. Between forlhe period period sow ftreose in moslsfoles oflheoPP2 ondlhebeginning oflheoPP'l decode The second per in their copifo on increose mosl slotes excepl Kelonlon experienced growlh l$O-qO, for lhe of ossources secfor ondfertiory offhesecondory thereinforcemenl .l990s increose o smoller ond Perokexperienced stoles nolobly Kedoh, Pohong Some wilh chonging DP, inkeeping oflheeconomy theslrucfure tronsform ondfurther Allthese Trenggonu ond Kuolo Lumpur. of Johor, Selongor, lo those exponded sector secondory ofAsio.The economy in theregionol circumstonces Moloysio wesl coosl of Peninsulor Trenggonu ore on the wilh fhe exception of of 1985 Plon Moster Industriol ondtheSetond oftheFirst withtheodoption furiher .|996 3), in developmenl principles guiding forinduslriol oslhemoin respeclively ond Oneoflhemoinchorocterislicsofindustrioldevelopment thedecodeoftheninefies. PercopiloByStotes Toble 3: GDP fo o produclivily driven fromon inveslmenl periods wosfhechonge these during 1970, 1980, 1990 ord 200O the on impoct hod on of lole 1990s crisis Theeconomic octivilies. driven Fnnmiiiionl lhese of ihe development lowords process in o woytholefforis konsformofion lowords efforts onfhemonogemenl downdueto lhefocus wereslowed seciors remoined oflheeconomy 1990 2000 Sffies t970 r980 lhesfruclure stobilily. However, mocro-economic ensuring the from lo recover continue sooslhecountry lo remoin ssil woi ondisenvisoged 900 2 916 4.082 7.831 Johor of lhe2l'rcenlury thotinlhedecodes Infocl,it isexpecfed recession. economic 5,423 2;102 2,612 Kedoh 66s to role ondconlribution fheir willenhonced sector ondterfiory thesecondory bofh 463 1,489 1,727 2, 411 Kelonlon oflhecounlry. thedevelopmenl l97O'90 TRANSFORf'lAilOr'l IALSTRUCTRAL REGIOI did nofloke level ol lhe nolionol lronsformolion ond struclurol GroMh growlh ledfo ihe uneven This of thecounfry. lhe slotes ploce ocross uniformly very the since lheslofes hodoccurred growlh between sfoles.Uneven between lo lhe siluolion. lhotled osevents identified hqdbeen focfors ondseverol fimes eorly impocf fhedifferenfiol ofthesloles, chorocteristics include, lhephysicol foctors Ihese process. plonning oflheeorlier policy, ondthelegocy occessibility offhecoloniol con ofeconomic inferms Moloysio posilion ofpeninsulor oflhestotes arowth The GDP. folhenolionol contribution oftheir from theonolysis beseen were ondJohor withPerok Lumpur Kuolo 1972, ondsince In1970, Selongor sfofes Pulou Coosl of Wesl Ofher weolth. to thenotionol confributors themojor poslllog, Shuclurol on inlermediole occupied Sembilon ond Negeri Pinong ondKuolo Salongor Lumpur hodentrenched in1970 intheeconomy modifliolions wlfh by.Prtek lollowed bllllon endJOhor 12,9 ofRM GDP o comblned otlhefopwlfh (Fouro, ondfhe rferllnlffiftfdgn The hcod 19941, 5bllllon och o CllPoiRtvt
798 Meloko 979 NegeriSembilon 975 Pohong 981 Perok *o Perlls 987 Plnong Pulou 1,617 Selongor

2,297 3,440 3,182 2,852 2,265

3, 649

3,723 3,744
3, 648

7,933 6,067 6,937

6, 937

4,610 3,705 6,367

3,532 2,936 5,246 6,341

6,993

5,O29 10, 867

l'1,093 11,209 5,329

Ilenggonu of FederolTerrllory Lumpur Kuolo

592 *b

8,sor

rb: Included lo; Includad In Selongor In Kedoh; ond'1996 Moloyrlo, 1986,1991 Soweor

(Fotzol of MoloysionEconomy Grorylhond Tronsformollon

Jilld12 lhruch don Mosyorokol

ord 2000 l97O l98O 1990 Fgurc3. @P FercopiloBySioles:

'AT PN NTGF'

ln FenlngiorMoloysio Figurc 4. Cenlres of Monufocfuirlg

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growth wosottribufed The insome ofthewestcoosl sloles fosteconomic economy, lo oneconomic slructure, which choroclerises tholofo newly indusfriolising sector. In where theGDP conlribulions onthemonufocturing orelorgely dependent iohor,Perok ond Pulou Pinong 1970, lhe fourWeslCoost slotes of Selongor, 75% monufocfuring conslituled lhemonufocluring cenlres inwhich oflhecounlryt output originoled. these excepf for Pulou Pinong olso At thesomefime, sfoles derived o substontiol In1980, the shore offheirgrowlh fromfheogricullure secfor. increosed to77%. conlribufion oflhese sloles lolhenolionol monufocluring oulpul Thecontribution of the monufocturing fo lhe economy of these stoles sub-sector increosed lo 37% inSelongor, l8%inKuolo Lumpur, 24% inJohor ond4l%inSelongor (Moloysio, trend role ofthemonufocluring ond 19861. This oftheincreosed seclor thepolorisolion coostsloleswos confirmed ofmonufocturing oclivities inseverolwesl (19941. dimension bylhestudy byToylor ondWord Infheir sludy of ontheregionol industriolisotion cenfreswere ldanlified, inPeninsulor Moloysio, eighl monufocturing boredon fhelr 41, whichwos further divided inlotwo broodgrou;rs lFigure performonce, monufoclurlng ondtheir slruclure

growth onddeepening group experiencing consisls ofthecenfres The first ondtheodiocent Pulou Pinong These include, struclures. monufocfuring fhelr ond Sembilon ond Meloko volley, Negeri ondfheKlong Kuolo Lumpur less group of fhose comprise hond, thesecond Ontheother Bohru. Johor Kolo districls, including lpohondtheodiocenl monufocluring dislricts, monufocluring This slronglydifferentioted Trenggonu ondKuonton. ondKuolo plonning, o' ondisolso greol forregionol developmenl implicolions hove plons policies developmenl of lheeorlier of lhe regionol of thellmllotions strolegy specificolly. dispersol ondfheInduslriol inlheeconomy, honsformotion slruclurol further wllnessed of 1980-90 dscode Pinong, Pulou Kuolo Lumpur, ofSelongor, sfoles Inlheweslcoosl erpeclolly per to cent 27 wos conlrlbuling sector monufocturlng Parok, 1990, lhe By ond hEr growlng In lhe wos olso seclor monufoclurlng lhe Alfhough ODP, fhf nqflonol

gr.rwlhord Itonrtormollon ol tl {rloyalon F(.o6omy lFolnrrl

,vkrrvorokfll Jllld12

olher slofes Inresponse lo lhedecenlrollsoflon pollcy, producfion thetr oggr6gol wosforhomlmpresslve. yeors The 1990 formed ofter lheperiod oflheSixth Moloysio Plon, thestcrrl Perspeclive Plon oflheOutlire 2 period ondtheimplemenlotion oflhenewNotioncrl (NDPI Policy Developmenl under which therole oflhemonufocluring secfor woslo enhonced. be further During theyeors upto l99T,lhe roleof themonufocturinrl seclors inthedevelopment ofthesloles were olsoincreosed significonlly. Togelher theconslruction ondlheservice .with sectors, fheyprovided themoinimpeius for lhegroMhin mosf stofes. Ihe monufocluring grewof 13.3% seclor peronnum ol lhenolionol level ondrecorded double-digir growth (Moloysio, rolein moslstotes 1996). selongot which woslhefostesl growing sloleconlinued to bethenotion's moior industriol centre withmonufocturing olone contributing to oboul50yo ond 33%of thevolueoddedof thestofeond fhecountry respectively. Thegood infroslruclurql focilities inSelongor conlinued lomoke lhestote lhemoior deslinotion formonufocluring porticulorly investmenfs inelechicolgoods, eleclronics, furniture, foodmonufocluring ondfobricoled metol indushies. olherweslcoos! sfoles ol Pulou Pinong, Perok, Negeri sembilon, Meloko ondJohor olso recorded growlfr high roles ronging from11.8% to 16.21o in lhemonufocluring sector. The sub-sectors predominonl inlhese stoles include eleclricolond electronics ondlexliles ondopporel industries. on theother hond, lheother stotes where themcinsloy oflheeconomy hosbeen lheogriculiure seclor, like Pohong, Kedoh ondTrenggonu olso recorded highgrowih rotes of fhemonufqcluring sector. InKedoh, growth lheropid oflhe monufocluring seclor woslheresull ofthespillover from fhemonufocturing dislricts ofPulou Pinong. The monufocfuring ocfivities inKedoh concenlroled intheindustriol esloles of sungei Peloni ond Kulim.In lhe stoles of pohong ond Trenggonu meonwhile, the ropidgrowlhof the monufocluring sector wos reloled to the developmenl ofwood-bosed ondpefro-chemicol induskies. Theconslruction experienced growth ropid inmoslsloies during .1990-96. sectorolso theperiod Thebouyont growth of thissector wos stimuloted by the implemenlotion of infrostruclurol ondhousing proiecls. This is especiolly fruein Kuolo Lumpur where lheconstruclion grew seclor impressively oftherofe of17.4% peronnum lorgely duelo theimplementolion proiecls of mossive likelhe Kuolo Lumpur cilycenlre ondtheLight Roil Tronsit system. growth The rote ofl2.7yo inthe slofe of selongor wosmuch reloled lo theimplemenlotion of lhe Kuolo Lumpur qndolsothelorge-scole (KLIA) Inlernolionol Airport residentiol ond commerciol development. Theservice gr6win rondem sector wifhlhe monufocluring ond construction seclor ond likethese sectors lhe ropiddevelopmenl of theservice seclor isespeciolly cleor inSelongor ondKuolo Lumpur. Theogricullure grewof o lowerroleduring seclor lhe.obove period. Neverlheless, ogricullure remoined rhedominonr secfor of theeconomy in mony sloles. ltisvery cleor fom theobove discussions lhotsince lhe1970s, theMoloysion 50

hodeonfinued lo undergo lronsformollons bothollhenoflonol sfruclure

exlenl of fheslolelevel.At lhestole level, cleor slruclurol ondto o cerloln slotes especiolly involving thetwo lookploce in mosl weslcoosl ilgncformotlons
growingsloleof Selongor ond fheFederol Terrilory of KuoloLumpur. Other

in tronsformotion, bufof o slower role. This conbe seen loo underwenl dOlos primory Kelonfon where fhe on lhe Pohong, Trenggonu ond dependent Perlis, hdoh, ondporollel tothis islheincreose inlhecontribution oflhe declining Iclor isslowly seclors. ondtheterfiory lftondory qfboth tocontinue thenotionol ondtheslote levelwos envisoged Growth crisis ofthelofe sfoles duetolheeconomic buldidnolinmosl 2000, fheyeor isexpecled foconlinue slruclure lhelronsformotion oftheeconomic , However,
fhere oftheobovechonges, ond olsotheslolelevel.ln onticipolion ihenofionol fo occommodole fhe chongesond more be o porollelpolicyresponse

,rlont bylhe perhops o developed notion to focilitote thevision of becoming 2020.

fNKluArJrYr9T0-90
orso during theposl35yeors show lhotMoloysio, discussions The obove growlh. Porollel undergoing ropid economic the1970, hodbeen since especiolly ofthe oflhestructure woslhetronsformotion developmenf economic lheropid nolion. This oninduslriolized from onogricullurollo chonging bosicolly ondtheslotelevels. ol theregionol olsotookploce ondlronsformolion in some fronsformolion wos moreevidenced thoteconomic , il is cleor positions of oflhestotes interms theunequol ondthisunderlie lhonofhers
lo ocfuolly owed ils exislence level.Theproblem of"inequolity development

of lhe coloniol ruleond fhe pdslplonning the impocl ihcluding foclors olvorious ondoccurs fokes mony dimensions Inequolify inMoloysio

per oflheGDP ontheonolysis bosed would beexomined Here, inequolity should vorioble The firsl ofpoverty. ondlheincidence overoge loMoloysion on stqtes bosed fromtheslowgrowing thefoslgrowing uslo differentiote (Toble fhe from 41. lfisobvious overoge tolhenotionol GDP oftheir comporison Selongor, Johor, Pinong, Negeri Sembilon, Pulou of Meloko, thollheslotes hoveexperienced ore lhosewhich, ond Pohong Trenggonu Lumpur, percopito tolhenofionoloveroge GDP inrelolion inferms oflheir Coosl oreinfheWesl ondPohong ofTrenggonu wifhlheexception stoles lhese lumpur Kuolo Selongor, Pulou Pinong, sloles, Ouloflhese seven bfhe Peninsulor. between overoge lhenolionol fhon GDP higher hodo percopito pndTrenggonu (Figure study on regionol byo deloil wosconfirmed 5).thispollern to 2000 1970 of While lhestote lechnique. ondShore lheShifl gtowlh using onditscomponenl duelo fheir suchgrowth recorded Lumpur Selongor ond Kuolo Pinong, Fulou of thesloles level, ot lhe nolionol which oregrowing in induslries lpeciolizolion growth ownlocolionolodvonlog lotheir much owed their ondPohong lfenggonu 5'l

Orovy|h orrl llonrixmofionol luoloyrlon Economy lFourol

lrlorydrd(olJllldU

lhoflsfhepefroleum Industry Inlienggonu ondfhalonddwelopmnf prolcts In pohong, perok Pohong 19941. Theolherstofes lFouzo, of Kedoh, ond perlis growth experlenced moderote while thestofes ofKelonfon experlenced less lhon holfthenotlonol roleof growlh. presenl The lrend isenvisoged to conlinue inthe yeorsthusthegroMhpottern remoining of yeor2000wouldnol be of much difference. Frgurc 5. Rqlioof perCopito io MoloysbnArreroge GDP by Sioies 1970, 1980, 1990 ond2000

lbbh 4. RslloOf Prt Cqplls OOP Tblhr tlohyrlon Avrmgr l99OAnd2000. By3ffir, t970,1980, Sbtr Johor
Kedoh

rno
0.91 0.67 0.47 0.80

ItEo 0.9r
0.65
0.46

t990 0.92
0.59

2(x)o
r.03
0.71

Kelonlon
Meloko

0.39
0.84

0.32
1.04 0.96

NegeriSembilon 0.99 Pohong 0.98

Perok 0.99

0.71 1.07 0.99

0.89

0.85 0.82 0.80

0.66

Perlis Pinong Pulou Selongor Trenggonu Kuolo Lumour

*o
0.99
t.oJ

1. 92 1.98 *o: included *b: included in Kedoh; in Selongor

0.60 *b

0.70 l.t3 1.43 1.15

1.19 1.43 1.58

0.80 0.91 0.66 1.43

1.46

r.48
2.02

Source: Moloysio, 1986,199.l ond1996.

of poverty. development is lhe incidence Another indicolor of economic of lhe NewEconomic obiectives erodicolion wos oneof lhe two-prong progrommes poverty considered too were level, erodicotion Allhenotionql of povefi hod lo hove ochieved their obiecfives ondtheincidence exlent
.|970. 1970-2000 slofesbetween since levels for lhe vorious Thepovertv

sloles hodexperienced level formosl inToble 5.ll shows lholthepoverty beseen poverty yeor of for excepl by 1990, lhe incidence ollsloles decline ond the $eody poverly in of wos lowest The incidence ond Trenggonu were below 307o. Kedoh (3.87o), lhonthe lower while wilhincidence of poverly Lumpur olherstotes (8.9%1, Negeri Pulou Sembilon level oreSelongor Pinong 19.57'l,, 17.8%1, were slofes, lhe incidences of poverly Meloko In other bnd n0.1%l t12.4%1. points conbe noledhere: importonl higher thonthenotionol level,Two populotion is similor to fhotof economic lhepottern of distribution of poor theEost Coosl ondNorthern offfhon wifhlheWesl Coosl stotes being betler wilhropid Trenggonu wosidenlified osoneoflhesfoles . Secondly, ollhough
growlh lhe incidence of poverty in lhis stoteis slill higherthon olher

hosnolbeenevenly occuning ol lhestolelevel , This meons tholthegrowth throughout lhedistricfs. of lhe stoles l970ond1990, lhol, befween ll conthusbe concluded growlh slructurol os well os experienced ropid economic Moloysio did not occuruniformly tronsformolion however . Economic if Similorly, lhonolhers. in some sloles thesfofes ondoremore obvious improvemenl improved but of oll sfoles hod lhotlheeconomic sfofus betoken developmenl of unbolonced Therefore lheproblem dislribuled. wosnolequolly 52

GroMhondTronslormotlonolMoloyrlonEconomylfoltrol ^^r^-,{ rmnarlnnl Thg.,economtc lmporlonf ' The rgmolned

beenreduced. i.rod olthough sectors some ondinequolity tn" to'nlryoso whole'Although novel'if"'t"a 1990s lote ofhers the lhon of crisis stor",*"t" moreoffected mon'tiheiuondsome recover to oremoreoffected sfrofegy onlhe wereoswell,much0""![ol":ti];1t oreworsloffthonthe stotes OeveLied -""1"cused lhofiheless ll i' thetwowould fromthecrisis' ir'esop between rnus "nu''oglJ ii[i, ,:;;;iii," oneos*" plonning devefoped ".4 implicotio'nsior developmenl wlJo nou"irportont Tnis wider. been hove decode' inthefufure ' IncideneofPorertybySitoles' Toble5' 1976,1984,1W0ond1995
Slsl8 Johor Kedoh

lhe lowords on etlorfs werefocused of fhe1990s Thelosllhreeyeors f|eoveryoflhecris|s.Thesignsofrecoveryorec|eorond|husMoloysiomustn thofis Policy Developmenl *'" r.rofionol *'" t" goonwlthlheeftort ond o developed "-t "f vision of becoming "..,""" ;"rJ"p.""tond.the ,h ochleve o botonceo isdebofoblethotlhesetwooimsore whileit r 2020. uvirre ,hrdusfrloltzed notion veJ fortowords orecolled efforts ;nJ omrrotlu" roon. onJilffi;;;;t flfrodictory

l? Jllld lLnurtodon MorYordkot

!,'"tl ol"i'ig;"eve"k;p'd oim rhe isro Ghrevrns Tilg::9.1":"ii:l1ff:':f; oim o*he nonsrorion "r 1'r'l ,t$i:J:TiililIr'J.i"1''"fffiffi 'imnr"sr equitv wirh the oisiriuir#;5Jil':-T{::[:::i:.:F.lowth witn srowth #hleve decode' comins the :iJffi;ruffi;;;i;r;nnins in
;iihih"dever6pmenr

1976
29.4

r984
12.2 36.6 39.2
r( A

r990
'10.1

implemenled' ondefficiently lobefully wilhequity ofgrowth thepolicy For of beneJits the receive to t-1od o: oi'o or slotes M"iilil;u* tlgions reg-: "t lhese notionol,*"i'iu'th"*ore' the Mh from :*:11i"".t:i-H i::i; country. the of process

61.0
67.1

29.9
29.9

HTj1il1',ililff;il;il; the [ve

Kelonton Meloko Pohong Pinong Pulou Perok Perlis Selongor Trenggonu

32.4
JJ.V

38.9 32.4 43.0 59.8 22.9 60.3 9.0 49.3 MoloYsio Peninsulor

13.0 15.7
.l3.4

12.4 9.5

'r0.3
8.9 19.3

P n'T:1y :'X lT;:ll'#i5"' po lo the m, J fro : 1-"h"^ *?:"il :XSffi:il opprooch bottom-up the "u"toii' in" lffi]li;:l;'ffiffid"" ffi|ffi "rir,oush &velopmenlhosbeenrl"o"tStr"it""*t*iu"*^"i"nt"*l:t""*tJ:ii:[? comprehensive ino more roueodopred
lLT'::;ril?J;;il;;
h:.9 beeno moiorlool in plonning development regionol Lostly,

beenpointedoutthotrneL'c[ii;;;:::."Jy:I1lx;i:P#i**i'::l I;'ffiffi 6{

H il""l ffil5lff o ot | ov",, | spi

20.3 33.7
8.6 28.9 4.9 18.4

17.2
7.8

31.2 3.8 15.0

ii ii, !vu' nr'"a'"J111"a rrrE.*'[t'v, I the in rg rr plonrru rnlplonnins nent Ji',:lTffil1'fl l3"li; understonding "oo"s{ o thorough onifl be c
r,regionol Plonning shouldformo moior onolysis ond itsoynomis'lf''ut i"gion"f problems
oldevelopm ent plonning' 'Inlegroted e" v' F' vv' Porl -"'- -ot - regton

tG,

ond1996 1991 1986' tvtotoY.io,

mrucAllot'ls Ai'lDTHE TRANSFORMATIo}'| STRUCTRAL GROWI!|, .'r'"'&"SH'l"il i !?*r l'pt"T Ecof.lotl,llc o ]ir' oti issitu th of ew . Invi ffi Pl:l,T1lt^:t^i:: :l3"|fl:[:B: roioevtr.opl ENTP|ANNING impresstve .^^^mvh.,dochievedir hodochieved economy #;il;i{""J"p''"^tpronninsshourdbe Moloysion the dec;;;; i.jl,:,"#:lHil"#:*:'ffi overtheposl growth economic ofiggs-go' ptti"tt tn"t"tt1Y:il{:::j:::::li:T:[" ofthe otvttit ono dynomi. lhea"p'"'!u" After goon' olns, growlh. per onnum musl oboul9% to "t"'iion ondlheprocess rising "ffects wirh GDP evoluolion reol r"^it"ti"g. reviewing, #;;J;;"rh ono $rong structurol hodbeen bv ue"nJccomponied f'oootso otrqgll'd;ii;.-th crsis beforerhe iust fionsformo|ionfiomon,ogriculturj-bosedtooninousriolizedeconomy'Atthe in lhe more wos moreobvious til:il;;il;;nttoi*ottn however, in level stole speciolizing wer_e stoteslhot ;;;i";, *hi.h *"r" octuolly weslcoost the Printing ond developed Notionol Lumpur: r'ona'he eoslcoosl Kuolo AnnuolReport' 1992' Moloysio' norioni'ind;;ftt' o.1thgoir'br Ncgoro thefost-growing slructuroleconomlc these underlying r"*oin"olori.i"nvogti.rltur"r. Doporlment sloles northern ondtheeost-wesl ine-quolitv ,,,r," o""p]'ili"J'Jto6i"t "t t"gio;or poverlv ondNew differences ofwhich London nolure Perspectives' Economy-spotiot i; ffi;#l;'iitrr',-li"tsionolin Moloysion 1990, lnequolifv Ocorge. Inequollty dichotomy. frre importontlit"ntiont'Although or" r*o'oiirrimore YorkrRoulledge ofgrowfn ond perslstenl ondrote tsdtfi *'e

illrcconomybothot"Jii;9d];lq":::g:nil1ill':":15,:t""#: j;?h:'"'ffi #!vm5[,lheqrowthonddeveropment

hionclusion,Moloysiohodundergoneodroslicstructurollronsformofion

frobrem reducefi#;th;r;"'ir.oa.r, lhe been hod oop counlrv developmenlof t'" ri ,v#;i;;ffirgnrikonir;t" t4

55

(Foljzol of MoloysionEconorny Grorrrlh ond Tronsformolion

ilonusio don i\ osyorokotJllid12

1994. RegionolGrowlh InMoloysio 1970Fouzo Ab.Ghoffor. StruclurolChongeAnd Journal of Tropicol 252lr, 79-89 . 199 0. Maloysion Geography, ,|999. 'Potterns AndScope OfRegionol lnequolifies lnPeninsulor Moloysio For Regionol Plonning." AndTheir lmplicolions Developmenl Unpublished Theses, Universily Moloysio. PhD of Technology .|957-9.|"The Yon.1994. Economy An Overview." In Notionol Lin, See Moloysion Administrotion. Molaysion Development lnstilule of Public ExperienceKuoloLumpur: Chonges and Challenges. Nolionol Inslilule of Public Administrolion. Moloysio. 1986. Mid-TermReviewof theFifthMalaysiaPlon19S6-90. KuoloLumpur: Deporlmenf . Nolionol Printing 1991.TheSixth : Noiionol Moloysio Plon1991-95. Kuolo LumpuJ Prinling Deportment. ,, , 1996. The Seventh Molaysio Pton 1996-2A00. Kuolo Notionbl Printing Lumpur: Deportmenl. Okposin, S.B. elol. 1999. The Chonging Phoses OfThe Molaysian Economy. Kuola Pelonduk Publicolions. Lumpur: .|994."Regionol Toylor, M. ond Word, Dimension of Industriolisotion." In H. M. Brookfieici. lndustrialisarion in Peninsuior With uaioysia. iea.iTransformation Oxford, Press. NewYork, London: Oxford University

AMALAYSIqNPR'E

It

NIRODtrnOll kc Thisorticlediscusses perspecfives. Firstly, ot ltnit it looks describes ofprocfilioret cotegories core ilfrrri{ medicolion, ondlhirdly. lo commerciolizolion, ondilsrdm

ore bofl Thediscussions proclilfld involvemenl withvorious Moloysio, withhed ondinteroclions onddevelopmenlof frodiliordmd

Definilions lt/tedcir OfTrodiliond The legoldefinilions ofufu ielole 50,Sedil lo theMedicolAct lhemin termsof concepts or meil medicines' bywoyof inlerprelolic proclicing from d heft onymelhods groupsl, Indion soh orother Nolive lifleof descriplions thotis deemed quoiifie,j io prociice medicine or r proctitioner med of lrodilionol sphygmomonometer, slethoscopI by modern ond surger medicine olfernqlive os theq theropisls such (l quolified proetilionersconsliiule regulolions governing fre; ondlow Proclitioners ls their business obfoin lheLocol 1971. s.tS Governmenl oct Heolfh.l996l.

lbodcd Perspeciives OfTrofu Hisforicolly ond culturd;,I philosophicol beliefs, cd religious, defined hdc bylheMoloy, Chinese. lheintroduclion medcid ofweslern cndsr Hindu-Buddhism S onimism, Moloy islorgel medicine lrodilionol

BehoviordResrd Division ofSociolond ' Fleod.

56