KUALA LUMPUR, May 21 — Malaysia’s dependence on oil-related revenue will decline to 15.5 per cent by 2020, from just under 30 per cent of revenue currently, state news agency Bernama said today, quoting Malaysia’s economic planning unit.

The federal government’s total debt is projected to drop to 45 per cent by 2020, from 54.5 per cent of gross domestic product as of December 2014, the report added.

Prime Minister Datuk Seri Najib Razak, who is also the finance minister, is tabling a five-year plan in parliament aimed at leading the Southeast Asian nation toward its goal of becoming a fully developed economy by 2020.

 “We foresee greater volatility and uncertainty in the global economy as a result of the decline in oil prices, realignment of exchange rates, as well as geopolitical risks,” Najib said in a foreword to the five-year blueprint.

“In order to sustain our growth momentum and ensure that the rakyat (people) continue to prosper, we need to forge ahead with greater resolve and introduce bold measures for the long-term benefit of all Malaysians.”

The five-year plan is aimed at leading the Southeast Asian nation to its goal of becoming a fully developed economy by 2020.

The plan comes at a time when Malaysia is navigating through a tricky economic environment of slumping energy prices that are threatening to cut the nation’s oil and gas revenues.

The country’s currency, the ringgit, has dropped to six-year lows against the dollar.

Allegations of corruption and mismanagement by Najib’s government also threaten to destabilise Malaysia’s political climate.

In the blueprint, Najib said the government the GNI per capita will reach RM54,100 in 2020, with the average monthly household income increasing to RM10,540 from RM6,141 in 2014.

Najib’s “people-anchored growth” plan included a slew of feel good measures aimed to ease the burden of rising costs of living and poor infrastructure in rural parts of the Borneo region - where most of the electorate seats in his government are located.

Besides promising resources to build more than 600,000 new affordable homes, the 5-year plan also makes room for more opportunities for the ethnic Malay community and other so-called Bumiputeras, or “sons of the soil”, who together make up about 68 per cent of the population.

There were also promises of more schools and hospitals.

A new Goods and Services Tax would bring in about RM31.4 billion in revenue per year over the next five years versus RM15.5 billion through the previous Sales Tax and Services Tax, he added.

Malaysia’s dependence on oil-related revenue will decline to 15.5 per cent by 2020, from just under 30 per cent of revenue currently, the report added.

The federal government’s total debt is projected to drop to 45 per cent of gross domestic product by 2020, from 54.5 per cent as of December 2014.

Private investment in Malaysia is expected to grow at an annual 9.4 per cent between 2016-2020 with an estimated annual investment of RM291 billion.

Public investment will grow at 2.7 per cent per annum at an annual average of RM131 billion, the plan stated.

Financial markets remained relatively subdued after details on the 5-year plan. The benchmark index was almost flat, down 0.16 per cent at midday break.— Reuters