Business Times (Malaysia): Retail sector may see extra RM400m in festive sales: “Such changes, it said, should attract the right investments in upstream exploration to reverse the trend of Malaysia's dwindling oil reserves. The recent deep-water discoveries by Shell and Murphy Oil have not been a catalyst for such incentives.” (ShellNews.net)
Sep 15, 2004
Retail THE retail sector is expected to see an additional RM400 million in festive sales in the fourth quarter of this year, assuming that the 30 per cent of the bonus to be paid to civil servants in October and December is spent on retail outlets, Mayban Securities says.
Under Budget 2005 announcement, Prime Minister Datuk Seri Abdullah Ahmad Badawi said civil servants earning up to to RM1,000 a month will be paid a 1.5 months' salary, while those earning more than RM1,000 a month will be paid a bonus of one month's salary subject to a minimum of RM1,500. It will be paid in two instalments, the first in October and the second in December.
There are some 900,000 people in the civil workforce.
Education THE Government's incentive to get private institutions of higher learning to merge will result in stronger private education providers in terms of size, financial standing, courses offered, foreign partner tie-ups and campus network. This would enable them to compete more effectively with other international players, TA Securities says.
In Budget 2005, the Government proposed exemption on stamp duty and real property gains tax on mergers approved by the Higher Education Ministry by December 31 2006.
In 2002, there were 518 such institutions in the country. The measure will also help streamline the industry, enabling more effective management and better control by the Government.
Oil and Gas DESPITE the absence of any new tax and incentives regimes, investments in the oil and gas industry are not expected to be curtailed. Mayban Securities said with high crude oil prices expected to stay about US$30 (US$1 = RM3.80) per barrel in the foreseeable future, exploration and production activities should remain strong.
The stockbroking house had expected the introduction or enhancement of the tax and incentive regimes for the oil and gas industry mainly to encourage deep-water exploration and greater use of "next generation" technology.
Such changes, it said, should attract the right investments in upstream exploration to reverse the trend of Malaysia's dwindling oil reserves.
The recent deep-water discoveries by Shell and Murphy Oil have not been a catalyst for such incentives.