As expected, it was a quiet Budget 2010 for the property sector. Here are some highlights in Malaysia’s Budget 2010 tabled in Parliament by Prime Minister Datuk Seri Najib Razak on Oct 23:
This is applicable to new and upgrading of existing buildings. The proposal is effective for buildings awarded with GBI certificates from Oct 24 till Dec 31 2014.
Buyers of GBI- certified buildings bought from property developers are eligible for stamp duty exemption on instruments of transfer or ownership of these buildings. The amount of stamp duty exemption is on the additional cost incurred to obtain the GBI certificate. The incentive is given only once to the first owner of the building. The proposal is effective for sales and purchase agreements executed from Oct 24 till Dec 31 2014.
The government will also establish a fund amounting to RM1.5 billion. This fund will provide soft loans to companies that supply and utilise green technology. For suppliers, the maximum financing is RM50million and for consumer companies RM10 million. The Government will bear 2% of the total interest rate. In addition, the Government will provide a guarantee of 60% on the financing amount, with the remaining 40% by banking institutions. Loan applications can be made through the National Green Technology Centre. This scheme will commence on 1 January 2010 and is expected to benefit 140 companies.
By Sharon Kam (The Edge Property)