Highway Construction Drives National Economic Growth - Malaysian Highway Authority

By K. Naveen Prabu

KUALA LUMPUR, May 5 (Bernama) — The construction of highways continues to play an important role in stimulating the country’s economic growth through job creation, support for supply chains, and business opportunities, according to the Malaysian Highway Authority (LLM).

LLM Director-General Mohd Hadzmir Yusoff said from a construction aspect, highway projects provide job opportunities for contractors, while also stimulating the supply chain and the use of local manpower.

“Once a highway is completed, facilities such as rest and relax areas are provided, which in turn open up opportunities for traders to conduct business. This indirectly expands economic activities and contributes to national economic growth,” he told Bernama on the sidelines of the Ruang Bicara programme “Needs & Challenges of Urban Highway Construction” by Bernama TV here today.

Mohd Hadzmir said the demand for highways remains high due to the increasing number of vehicles and congestion on urban road networks.

“Urban highways are still important. We find that some city roads are quite congested, and traffic volume is high. For your information, we at LLM monitor daily traffic volumes of around 5.5 million to six million,” he said.

The increase in new vehicles also puts pressure on existing road capacity, he said.

“Last year, we registered about 600,000 new vehicles. Where will these vehicles go if we do not build new highways?” he asked.

On financing, he said highway development is carried out via a public-private partnership model. Construction costs are borne by concession companies and recouped through toll collection.

At the same time, he acknowledged that highway construction does not solve congestion over the long term. What is needed is public transportation support.

“It is true that in the long term, even when we build highways, congestion may still occur. Therefore, we hope users will also use public transportation such as LRT and MRT to reduce congestion,” he said.

Meanwhile, IJM Corporation Bhd Toll Division chief executive officer Chua Lay Hoon said although there are views that building more highways does not solve congestion, it is important to understand that Malaysians still tend to rely on private vehicles.

“With the continuous increase in the number of vehicles on the road, the lack of infrastructure improvements could lead to more severe congestion levels.

“Therefore, highway development is not only aimed at meeting current user demand. It also supports broader economic and social development,” she said.

— BERNAMA