SHAH ALAM, 2 Oct: The National Audit Department is satisfied with the performance of the Selangor State Investment Centre Berhad (SSIC), which has recorded a surplus in its annual income and accumulated profit has increased each year, from year 2009 to 2011.
The National Audit Department notes that SSIC is not a profit-based entity, but focuses on service. The entity showed a surplus of RM1.08 million in 2011, an increase from RM0.11 million in 2010 and RM0.54 million in 2099.
The surplus of accumulated income showed an increase to RM1.99 million (2011) from RM0.91 million (2010) and RM0.80 million (2009).
“In addition, the audit also found that the management of activities and corporate governance of SSIC is satisfactory,” stated the 2010 Auditor General’s Report.
In 2012, SSIC Board of Directors comprised of 7 members, chaired by the Chief Minister and the 6 Board of Directors comprised of the State Secretary, the State Financial Officer, the Exco in charge of Investment, Industry and Commerce, the Exco in charge of Agricultural Modernisation, Natural Resources Management and Entrepreneurial Development, the Deputy State Secretary (Development) ad the SSIC Chief Executive Officer.
The SSIC was established to boost Selangor’s economy by increasing investment either from within the country or from abroad.
Based on the Report by the Malaysian Investment Development Authority (MIDA), in terms of value, Selangor received the largest number of investment which was approved in the manufacturing sector for year 2012 (RM11.7 billion), much higher than in 2011 (RM8.7 billion) and 2009 (RM6.8 billion).
Selangor has proved to be the most popular state among investors, with 252 projects being approved for year 2012, in addition to the 263 projects for 2011 and 278 projects in 2009.
To improve the performance of specific activities management in registering a more favourable amount of investment in Selangor and to improve corporate governance, the Auditor recommends for the SSIC to intensify efforts in bringing in other industries, among them the service sector and agro-based industries as new investments.
The Auditor also wants SSIC to provide a complete repository of investment information and updates to facilitate investors to make investment decisions, and to tighten internal controls for the financial management of SSIC.