KPJ Healthcare Berhad

JOHOR BAHRU: From 2013 until early this year, the Malaysian Investment Development Authority (MIDA) has approved eight healthcare travel projects worth RM561.4 million, from KPJ Healthcare Bhd, a member of Johor Corporation (JCorp) Group.

The investment tax allowance approvals include new and diversification/ modernisation projects, said Datuk Sri Mustapa Mohamed, Minister of International Trade and Industry (MITI) yesterday.

The announcement was made during a the media conference session yesterday, whereby Datuk Azman Mahmud, chief executive
officer of MIDA and Datuk Kamaruzzaman Abu Kassim, president and chief executive officer of JCorp were also present.

Under the Income Tax (Exemption) Order 2012, companies that establish new private healthcare facilities or existing private
healthcare facilities undertaking expansion/modernisation/ refurbishment for purposes of promoting healthcare travel are
eligible to applyfor an Income Tax Exemption equivalent to Investment Tax Allowance (ITA) of 100 per cent on the qualifying capital
expenditure incurred withm a period of five years.

The incentive is applicable for applications received by MIDA on or after Jan 1, 2010 but not later than Dec 31,2014. " We are excited to note that KPJ also plans to increase its capacity and will continue to develop new hospitals in the country," Mustapa said.

"KPJ'snewhospitalpipelinewill result in more specialist hospitals for the public, create additional high income employment opportunities especially for medical professionals, and will expand the healthcare industry in Malaysia.

"Last year alone, approved investments recorded for the healthcare travel subsector totalled RM1,828.2 million, a more than
four fold increase from RM339.6 million in 2012.

"Projects such as these are not only going to generate significant revenue for the country as they welcome patients and their families from the region but will also help to meet the nation's demand for healthcare services."

To note, Malaysia is one of Asia's countries that have immense potential in medical tourism.

"We have certainly become a leading choice for foreign patients seeking healthcare treatment abroad.

"More and more of our private hospitals offer expertise in medical fields such as cardiology, oncology, aesthetic surgery, robotic surgery, fertility treatment and so on which includes minimally invasive surgeries," Mustapa added.

Meanwhile, Datuk Kamaruzzaman Abu Kassim, President & chief executive officer of the Corporation arid chairman of KPJ said, "KPJ has allocated a total of RM954.8 million to build new hospitals in Selangor, Perlis, Johor, Kuantan and Sarawak.

"Some of KPJ's existing hospitals will also undergo expansion. The hospitals include Tawakkal KPJ Specialist Hospital, KPJ Selangor Specialist Hospital, Sabah KPJ Specialist Hospital, KPJ Specialist Hospital (Johor), KPJ Ampang Puteri Specialist
Hospital, KPJ Seremban Specialist Hospital and KPJ Perdana Specialist Hospital." — Bernama