Selangor confident to contribute 27% GDP

7 April 2023

Selangor had contributed 24.3% of the GDP in 2020 and 24.8% in 2021, of which there was a 0.5% increment, even without the development initiatives from the RS1, says MB

Amirudin (centre) with Yap (third from left) and Selangor State Legislative Assembly Speaker Ng Suee Lim (third from left) during the groundbreaking gimmick ceremony of the NCT Smart Industrial Park at Movenpick Hotel and Convention Centre, KLIA – pic Muhd Amin Naharul

Selangor state is confident to contribute 27% to the national GDP in the next five years due to new projects and initiatives under the Selangor Plan 1 (RS1) said Mentri Besar Datuk Seri Amirudin Shari.

He said new development initiatives such as the Integrated Development Region in South Selangor (Idriss) at south Selangor, Selangor Maritime Gateway (SMG) at central Selangor, and Sabak Bernam Area Development (Sabda) at north Selangor could garner more than RM2 trillion for GDP from their business and economic activities.

“There are several items and areas that will be developed into Managed Industrial Park (MIP). For example, the Selangor International Aero Park at Klang, the third port at Pulau Carey with logistic and industrial hubs in its surrounding area, and tourism initiatives at Tanjung Sepat and its surrounding areas.

“The development initiatives will see a combination of state government-owned and privately owned land. Development in south Selangor will focus on industrialisation based on airports in Sepang and areas with its uniqueness. For north Selangor, we will focus on agriculture and tourism-based development due to the availability of natural resources there. This is also how we crafted RS1,” he said during the groundbreaking ceremony of the NCT Smart Industrial Park (NSIP) at Sepang today.

Amirudin said Selangor had contributed 24.3% of the GDP in 2020 and 24.8% in 2021, of which there was a 0.5% increment, even without the development initiatives from the RS1.

“With these initiatives, I hope in 2025 and 2026 we will be able to contribute 30% to GDP. Selangor is ambitious to become a regional smart state, we want to ensure that we are still relevant and becoming the economic powerhouse of Malaysia,” he said.

Malaysia’s first certified MIP, the NSIP, has an expected gross development value (GDV) of RM8 billion for all three phases of the development. Phase 1 of NSIP is expected to be completed in the fourth quarter of 2025 (4Q25).

NSIP is a key project of Idriss. It features advanced infrastructure, artificial intelligence (AI), Internet of Things (IoT) technology, state-of-the-art data analytics and various other latest advancements in digitalisation and automation.

Idriss, first outlined under the First Selangor Plan 2021-2025, is expected to catalyse the development in the southern part of the state. The development involves an area spanning 40,000 acres (20,000ha) in the Sepang and Kuala Langat districts, with an estimated GDV of RM1 trillion.

The NCT Smart Industrial Park will be the hub of electrical and electronic (E&E), semiconductor, smart logistics and transportation and IR4.0-inspired industries.

The first phase of NSIP comprises 101 units of a semi-detached factory, detached factory, link-detached factory and 27 industrial plots up to 50 acres.

As an Environment, Social and Governance (ESG) Industrial Park with GreenRE certification, NSIP will be fully equipped with solar-ready factories, rainwater harvesting systems, and water and waste management systems, aimed at reducing industrial and commercial carbon footprint and promoting sustainable business practices, enabling its tenants to maintain their competitive advantage in the market.

Meanwhile, NCT Group founder and group MD Datuk Seri Yap Ngan Choy said NSIP had a 40% of booking rate and secured its first investor, YP Technology Development Co Ltd (YuePu) purchased a piece of 48.05 acres of land.

“We look forward to creating more than 50,000 jobs for the construction-related works and Malaysians will get various employment opportunities once the park is completed,” he said in a statement.

The industrial park is located within a 10km radius of the Kuala Lumpur International Airport (KLIA), approximately 50km away from Port Klang and well connected to two major highways.

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