ISKANDAR PUTERI, Aug 22 — Johor economy is on track to recovery and is forecasted to grow between three and five per cent this year.
Menteri Besar Datuk Ir Hasni Mohammad said the forecast is based on the Bank Negara Malaysia updated projection of the national level at three to four per cent.
Nonetheless, he said Johor economy remained on the path of recovery this year driven by the increasing vaccination rate which enabled the state to transition to the next phases in the National Recovery Plan (NRP).
Speaking at the fourth session of the Johor State Assembly (DUN), he said reopened economic sectors would gradually restore household and business sentiments.
“Johor economy will benefit from positive spillover effects of increased external demand, local pent-up demand and continued investment in large-scale infrastructure projects,” the Benut State Assemblyman said at Bangunan Sultan Ismail, Kota Iskandar, here today.
Besides that, he said Ihsan Johor 1.0, 2.0 and 3.0 economic stimulus packages have successfully provided cash flow support, particularly to the affected households and businesses.
Last year, Johor economy shrank 4.6 per cent as compared to 5.6 per cent at the national level.
Hasni said based on the financial statements on August 17, 2021, the state’s financial position was at a stable level with the accumulated balance of the Consolidated Fund (State Reserve) amounting to RM1.38 billion.
He said the state government revenue collections as of August 17 amounted to RM1.05 billion or 65.29 billion from the initial estimate.
“The State of Johor financial position currently stands at a surplus of over RM184.72 million,” Hasni said.
He was responding to questions from Chew Chong Sin (PH-Mengkibol), Abd Taib Abu Bakar (PN-Machap), Khairuddin A Rahim (PH-Senggarang), Datuk Md Othman Yusof (PN-Kukup), Aminolhuda Hassan (PH-Parit Yaani) dan Tan Chen Choon (PH-Jementah) on Johor economic performance since the outbreak of COVID-19 and the forecast for this year.