To encourage the private sector to adopt the Industrialised Building System (IBS), the Finance Ministry approved the incentives for the use of the said system, reported The Sun Daily.
“We have done our study. As you can see, during the last few years, housing prices have grown significantly. As a result, some people find that their income cannot reach the level where they can get loans to buy houses,” said Finance Minister II Datuk Seri Ahmad Husni Mohamad Hanadzlah at the launch of the Youth Housing Scheme.
He noted that the government has been looking for ways to reduce home prices and promoting the use of IBS is one of the ways.
He revealed that the use of IBS in Malaysia is still very minimal.
“Some companies like SPNB (Syarikat Perumahan Negara Bhd) build the whole house with IBS while others only use IBS to build certain parts of the house,” added Husni.
The move comes after the private sector has urged the ministry to provide incentives for the use of IBS, especially tax perks for importing the necessary machines, said Husni.
However, the use of IBS is not compulsory for the private sector.