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New M'sian ministers unlikely to alter ICT plans

But, Malaysia's two newly-appointed ICT ministers must provide strong leadership and instill higher transparency to drive initiatives forward, industry watchers say.
Written by Edwin Yapp, Contributor

MALAYSIA--The change in ministers heading Malaysia's information and communications technology (ICT) industry is not expected to greatly impact the industry, but several issues need to be addressed to ensure the nation's ICT agenda stays on track, say industry observers.

Prime Minister Abdullah Ahmad Badawi unveiled his new cabinet line up Mar. 20, following the country's general elections Mar. 8, which included two fresh faces in ICT-related portfolios.

The new minister for the Ministry of Science, Technology and Innovation (Mosti) is Maximus Ongkili, formerly a minister in the Prime Minister's department. The new chief for the Ministry of Energy, Water and Communications is Shaziman Abu Mansor, who was deputy minister in the same ministry.

Raphael Phang, IDC's Asia-Pacific research director for government, said the new faces in leadership is not expected to bring major changes to Malaysia's ICT landscape as the implementation of its Ninth Malaysia Plan (9MP) has already been in the works since 2006. The 9MP is the government's five-year blueprint outlining its plans to drive the country's economic development, covering ICT initiatives that include computerizing government processes and the Multimedia Super Corridor.

"The ministry will continue to implement the current infrastructure development projects," Phang told ZDNet Asia in an e-mail interview. "This is typical when there is a change of political leadership."

Multimedia Development Corporation (MDeC) CEO Badlisham Ghazali said the ICT outlook remains positive, as global demand for products and services will continue to thrive regardless of changing political trends.

"MDeC is confident both ministers--Ongkili and Shaziman--will continue to galvanize the ongoing MSC Malaysia efforts in transforming the nation into the digital era and a knowledge-based economy," Badlisham said in an e-mail interview.

David Wong, chairman of the Association of Computers and Multimedia Industry of Malaysia (Pikom), said Ongkili has "vast experience as a cabinet minister as well as in science and technology."

"Ongkili's open approach is appropriate for the Mosti, while Shaziman is no stranger to the position and his promotion ensures continuity of the Energy, Water and Communications Ministry," Wong said in an e-mail interview.

New ministers, new resolve
An industry source told ZDNet Asia that while the appointments of fresh faces is good for Malaysia's ICT sector, the newly-appointed ministers will have to quickly adapt and exercise strong leadership to ensure the nation's ICT agenda does not stall.

Developments in technology-based industry sectors could slow down considerably due to the loss of momentum, said one industry player, who spoke to ZDNet Asia on the condition of anonymity.

"To lead these ministries, you require strong leadership," he said. "Both former previous ministers [from the Mosti and Energy, Water and Communications] were willing to take risks and move agendas forward with conviction. It remains to be seen if the new ministers will have similar characteristics."

He added that the Mosti, in particular, is a key ministry that must do well if the government is serious about its aim to transform Malaysia into knowledge-based economy.

He noted that the Ministry of Energy, Water and Communications will need to be "operationally intensive, efficient and alert to nitty-gritty matters". "The industry expects a minister who can keep his eye on the ball regarding all base-level issues, such as good broadband bandwidth to mitigate network congestion, and to achieve it at the lowest possible cost."

According to IDC's Phang, for the first 100 days in service, the new ministers should focus on strategic planning before moving toward implementing clear, actionable tactical plans.

"The ministers need to gather all their ICT expertise [both public and private] and review current strategic policies," he said. "Most importantly, they need to develop a core set of ICT focuses to help them chart the progress of implementing these plans."

The IDC analyst also expected to see a more "open" procurement process in government ICT tenders, as such a move will weed out any potential form of corrupt practices.

Phang said: "We hope the government will pursue higher accountability and transparency of projects in the years to come.

"Not only that, such practices will also provide better opportunities for foreign firms to participate in upcoming ICT projects," he said

Projects awarded to companies should also adhere to strict timelines and delivery expectations to ensure they will be successfully implemented, he added.

Pikom's Wong concurred, noting that besides the need to be more open and transparent, the Malaysian government needs to address several ongoing industry pain points.

These, he said, included speeding up the project awarding process, addressing k-worker shortages, boosting export of ICT products and services, increasing domestic direct investments, and growing local icons to become formidable global players.

"The government should strive to make ICT contribute at least 10 percent of the national GDP (Gross Domestic Product) by 2012 up from the current 7 percent," he said.

Edwin Yapp is a freelance IT writer based in Malaysia.

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