FACILITIES & INCENTIVES FOR INDUSTRIALISED

BUILDING SYSTEMS IN MALAYSIA

Presented by:
Datuk Phang Ah Tong, Deputy CEO
MIDA
 63 Projects
Approved & Implemented for
ML with Incentives / without
Incentives

RM 1.9 billion
Approved and Implemented

Major Companies
242
IBS Manufacturers
(registered with CIDB)
(April 2017)

Source: MIDA
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 ADVANTAGES OF IBS
01 Less
construction
10 Reduce overall
cost
time Construction
09 operation less
affected by
Cost weather
02 saving

Flexibility in
03
Less
labour
08 architectural
design
at site

Higher quality
04 and better
Increase
finishes 07 site safety
and
Waste neatness
05 Optimised use
of materials 06 reduction
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MIDA Target by 2020
To Approve 100 projects, with a total investment of
RM2 billion.

IBS ADOPTION RATE IN MALAYSIA

69.5% of Public Projects of 14% of Private Projects of
RM10 million and above have RM10 million and above have
achieved 70 IBS Score achieved 50 IBS Score

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 Pioneer Status Domestic Investment Strategic
Income tax exemption ranging from 70% or
Fund (DISF) Matching Grant
100% for a period of 5 or 10 years (1:1)

Investment Tax Allowance Scope of Fund:

60% or 100% on qualifying capital
expenditure for 5 years
Training of Malaysians;
R&D activities carried out in
Reinvestment Allowance Malaysia;
60% on qualifying capital expenditure Modernisation & Upgrading of
for 15 consecutive years
facilities and tools;
Import Duty Exemption Obtaining international standards
For raw materials / components and / certification; and
machinery and equipment Licensing / purchasing
technology.
Investment Policies
OWNERSHIP EXPATRIATE POSTS
Manufacturing & selected Liberal policy, based on
services sectors can be wholly merit of each case
foreign-owned
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Mandatory Conditions for IBS Incentive
IBS COMPONENTS

Roof
Truss
IBS
manufacturer
must Wall
manufacture Panel
at least three
(3) of the IBS
components
Beam

Technology,
value of
investment Column
and
economic Company must obtain IBS
benefit to certification from CIDB within
Malaysia Slab two (2) years after the project
has commenced production

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 MIDA
No. 5 Jalan Stesen Sentral 5
Kuala Lumpur Sentral
50470 Kuala Lumpur
THANK YOU Tel: 603 2267 3633
Email: investmalaysia@mida.gov.my