RMK13 success hinges on execution, says Economist Matthew Barsing

KUALA LUMPUR Aug 5 – The recently announced 13th Malaysia Plan (RMK13) has been lauded for its forward-looking vision, but its real test lies in execution, says economist and author Matthew Barsing, who offered a sharp assessment of the national development blueprint in an exclusive interview with DagangNews.

Prime Minister Datuk Seri Anwar Ibrahim unveiled the RMK13 in Parliament on 31 July 2025, framing it as a national commitment toward building a sustainable, inclusive and resilient MADANI Malaysia.

The five-year plan focuses on six core pillars: good governance, economic restructuring, social inclusivity, regional balance, environmental sustainability, and institutional reform.

“This is not just a plan,” Anwar said during his speech. “It is a vision and a national commitment towards building a MADANI Malaysia.”

But Barsing cautions that while the plan’s direction is commendable, its success hinges entirely on the government’s ability to deliver results.

“The RMK13 is ambitious, with a digital, green, and inclusive focus,” said Barsing.

“The challenge is delivery: we need KPIs that bite and a politically backed delivery unit. If executed urgently, it can reposition Malaysia — but that’s a big ‘if’.”

An Australian-born economist and business leader, Barsing has called Malaysia home since 2001. He is Director of EPS Consultants, a former FDI strategist with the Malaysian government, and author of Unleashing Malaysia’s Economic Potential. He also plays an active role in bilateral trade and policy reform through the Malaysia Australia Business Council (MABC).

Among the sectors identified in the plan — digital technology, green energy, and halal trade — Barsing sees green energy as Malaysia’s most immediate and scalable opportunity.

“Malaysia has the land, talent, and resources to become a regional green hub,” he explained. “Digital tech and halal trade are also promising, but green is urgent and scalable.”

Fiscal

On fiscal matters, the RMK13 proposes rationalising blanket subsidies and improving public finance through targeted assistance and anti-leakage enforcement. According to Barsing, this is exactly the kind of clarity international investors are looking for.

“Transparent reforms will boost confidence — investors seek sustainable public finances,” he said. “Communication and political stability are key to avoiding backlash and maintaining capital inflows.”

Some critics argue that strong emphasis on redistribution and social equity may dampen innovation. Barsing disagrees.

“Absolutely not. Innovation should drive inclusion,” he said. “Technology can democratise access to credit, skills, and healthcare. Equity and progress must go hand in hand.”

Barsing also shared a clear set of metrics to monitor progress in institutional reform and anti-corruption efforts:

• Prosecution and conviction rates by the Malaysian Anti-Corruption Commission (MACC)
   
• Malaysia’s ranking in the Transparency International Corruption Perceptions Index (CPI)
   
• Implementation of procurement reforms and public asset declarations
   
• Merit-based hiring in the public sector
   
• Outcomes of whistleblower protection cases

“Real impact is shown through measurable results,” he stressed.

Looking forward, Barsing believes Malaysia still holds a unique appeal for global investors — especially if RMK13 delivers what it promises.

“We offer a strategic location, cost competitiveness, a multilingual workforce, and strength in key sectors like E&E, green energy, and halal markets,” he said.

“If reforms succeed, Malaysia will be a balanced market — open, stable, innovative, and inclusive.” - DagangNews.com