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The Malaysian infrastructure and construction market is a significant contributor to the nation's economy, valued at approximately USD 35.51 billion in 2023. It is anticipated to expand at a CAGR of 8.55% during the forecast period of 2023-2028, reaching a projected value of USD 53.52 billion by 2028.
The Malaysian government plays a crucial role in driving infrastructure development through its procurement activities. In 2021, the government allocated approximately MYR 111.98 billion (USD 24.85 billion) for infrastructure projects. The procurement process is governed by the Construction Industry Development Act 1964 and adheres to international standards of transparency and competitiveness.
The Malaysian government procures a diverse range of infrastructure and construction products and services to support its development agenda. These include:
Construction materials: Cement, steel, timber, aggregates, and various building materials
Construction equipment: Heavy machinery, tools, and specialized equipment for various construction activities
Construction services: Project management, engineering design, architectural services, construction work, and specialized services like landscaping and interior fit-outs
The key authorities overseeing infrastructure and construction procurement in Malaysia include:
Ministry of Works: The Ministry of Works is responsible for formulating and implementing policies related to infrastructure development and construction activities.
Construction Industry Development Board (CIDB): CIDB regulates the construction industry, enforces standards, and maintains a register of qualified contractors.
Public Works Department (JKR): JKR is responsible for the design, construction, and maintenance of public infrastructure such as roads, bridges, and buildings.
Projek Lebuhraya Malaysia Berhad (PLMB): PLMB manages and develops Malaysia's expressway network.
Suruhanjaya Pengangkutan Awam Darat (SPAD): SPAD oversees the development and regulation of public transportation infrastructure.
Major players in the Malaysian infrastructure and construction sector consistently secure government procurement contracts. Some prominent examples include:
Gamuda Berhad: A leading construction conglomerate with expertise in infrastructure projects, including roads, railways, and buildings.
Iskandar Waterfront City Berhad (IWCB): The master developer of Iskandar Malaysia, a major economic zone with infrastructure and construction opportunities.
WCT Holdings Berhad: A diversified construction company with a strong presence in infrastructure, property development, and utilities.
Sunway Construction Group Berhad: A diversified conglomerate with expertise in infrastructure, property development, and healthcare.
Sime Darby Property Berhad: A leading property developer with a significant portfolio of infrastructure projects.
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