Exploring Housing Governance in Malaysia

  • Authors

    • Chai Teng Teoh
    • Abdul Lateef Olanrewaju
    • Seong Yeow Tan
    2018-08-08
    https://doi.org/10.14419/ijet.v7i3.21.17176
  • affordability, housing shortage, median income
  • Malaysia, in this era of increasing globalisation and rapid pace of urbanisation coupled with socioeconomic inefficiency, is suffering from severe housing problems – most notably affordable housing crisis. Though several prescribed measures in terms of incentives, policies and schemes attempting to alleviate the affordable housing crisis has been implemented, so far the result has proven to be insignificant. With the housing industry today becoming ever more complex, fragmented and involved by an ever increasing number of heterogeneous stakeholders, thereby it is not applicable for the government to have a one-sided decision making power on housing and other related policies. As such, the ‘governance’ approach, which ably brings together both public and private housing stakeholders into a collective body of decision-making and actions, has been deemed as a prerequisite for dealing with the Malaysian housing dilemma. There has been much discussion about bringing governance into urban development, land delivery, construction projects or other related services to bring about positive effects. However, the housing industry in Malaysia, particularly in the affordable segment, has not adopted this approach to the same extent. In order to remedy this issue, this study aims to develop housing governance for the Malaysian affordable housing industry. This paper reports part of the study in achieving the mentioned aim by literature reviewing factors involved that negatively influence the Malaysian affordable housing delivery. It was identified that there are 65 indicators, classified into financial factors, policy and regulatory factors, administrative factors and knowledge factors that constrains the Malaysia affordable housing delivery. 

     

     
  • References

    1. [1]. Abidin, M. Z., Wong, S., Teoh, S., & Ramnath, T. K. (2013). ISIS Roundtable Providing Public and Affordable Housing for Malaysia. Malaysia.

      [2]. Ahmad, A. B., & Hasmah, A. Z. (2008). Evaluation on the Bumiputera Lot Quota Rules On The Bumiputera Housing Ownership In The District Of Johor Bahru, Johor, Malaysia. In A. & R. Shahabudin (Ed.), Sustaining Housing Market (First, p. 3). Malaysia: Universiti Teknologi Malaysia.

      [3]. Ahmad, N. I., & Neily, S. E. (2016, November 1). Housing ministry working to standardise land costs, low-cost quotas between states. The Edge Property Malaysia.

      [4]. Alan, Tong. (2016, December 10). Solving affordable housing issue. The Star Online. Malaysia.

      [5]. Angie, Ng. (2016, April 22). Housing Malaysians with affordable projects. StarProperty.my. Malaysia.

      [6]. Bank Negara Malaysia. (2016a). Assessing Demand-Supply Conditions in the Malaysian Property Market. In Annual Report 2015 (pp. 33–45).

      [7]. Bank Negara Malaysia. (2016b). Financial Stability Report 2015. Bank Negara Malaysia. Retrieved from www.bnm.gov.my

      [8]. Bank Negara Malaysia. (2017). Financial Stability and Payment Systems Report 2016.

      [9]. Baqutaya, S., Ariffin, a. S., & Raji, F. (2016). Affordable Housing Policy: Issues and Challenges among Middle-Income Groups. International Journal of Social Science and Humanity, 6(6), 433–436.

      [10]. Beer, A. (2012). Housing governance. In International Encyclopedia of Housing and Home (Vol. 3, pp. 497–501). United Kingdom: Elsevier Ltd.

      [11]. Bujang, A. A., Jiram, W. R. A., Zarin, H. A., & Anuar, F. H. M. (2015). Measuring the Gen Y Housing Affordability Problem. International Journal of Trade, Economics and Finance, 6(1), 22–26.

      [12]. Cagamas. (2013). Housing the Nation: Policies, Issues and Prospects. Cagamas Holdings Berhad. Malaysia: Cagamas Holdings Berhad.

      [13]. Central Intelligent Agency. (2016). East & Southeast Asia :: Malaysia. Retrieved from https://www.cia.gov/library/publications/the-world-factbook/geos/my.html

      [14]. Cheah, S. ling, & Stefanie, J. A. (2017). Demystifying the Affordable Housing Issue in Malaysia. In Annual Report 2016 (pp. 91–98). Malaysia: Bank Negara Malaysia.

      [15]. CIDB. (2016). CIDB Annual Report 2015. Retrieved from http://www.cidb.gov.my/cidbv5/images/content/2017/korporat/CIDB Annual Report 2015.pdf

      [16]. CIDB. (2017). Chapter 4 Construction Industry Prospects 2017. In CONSTRUCTION INDUSTRY REVIEW AND PROSPECT 2015/2016.

      [17]. Demographia. (2017). 13th Annual Demographia International Housing Affordability Survey: 2017 - Rating Middle-Income Housing Affordability. New Zealand.

      [18]. DoS. (2011). Population Distribution and Basic Demographic Characteristics. Dept of Statistics, Malaysia. Retrieved April 1, 2017, from http://doi.org/10.1094/ASBCMOA-StatisticalApp-1

      [19]. DoS. (2014). Characteristics of Household 2010 (Updated: 29/1/2014). Dept of Statistics, Malaysia. Retrieved April 1, 2017, from https://www.statistics.gov.my/images/stories/files/LatestReleases/population/Web_Release_Ciri_IR2010.pdf

      [20]. DoS. (2015a). Press Release Report of Household Income and Basic Amenities Survey 2014. Retrieved July 18, 2016, from https://www.statistics.gov.my/dosm/index.php?r=column/cthemeByCat&cat=120&bul_id=aHhtTHVWNVYzTFBua2dSUlBRL1Rjdz09&menu_id=amVoWU54UTl0a21NWmdhMjFMMWcyZz09

      [21]. DoS. (2015b). Table 9.7.2: Percentage distribution of households by income class, 2002 - 2014, Malaysia. Retrieved from http://www.epu.gov.my/en/content/table-1-percentage-distribution-households-income-class-malaysia-1970-2014

      [22]. DoS. (2016). Population Projection (Revised), Malaysia, 2010-2040. Dept of Statistics, Malaysia. Retrieved April 20, 2017, from http://www.imf.org/external/research/housing/data/HousePricesAroundtheWorld.csv

      [23]. EPU. (1985). Bab XXI - Perumahan.pdf. In Fifth Malaysia Plan, 1986 -1990 (p. 522). Economic Planning Unit. Retrieved from http://www.epu.gov.my/en/rmk/fifth-malaysia-plan-1986-1990

      [24]. EPU. (1989). Chapter 14 - Social Development.pdf. In Sixth Malaysia Plan, 1990 - 1995. Malaysia. Retrieved from http://www.epu.gov.my/en/rmk/sixth-malaysia-plan-1990-1995

      [25]. EPU. (1995). Chapter 18 - Housing And Other Social Services. In Seventh Malaysia Plan, 1996 - 2000 (pp. 556–557). Retrieved from http://www.epu.gov.my/en/rmk/seventh-malaysia-plan-1996-2000

      [26]. EPU. (2010). Ensuring Access to Quality and Affordable Housing. In The Economic Planning (p. 277). Malaysia: The Economic Planning Unit Prime.

      [27]. EPU. (2015). Eleventh Malaysia Plan 2016-2020. Malaysia: The Economic Planning Unit Prime.

      [28]. EPU. (2016). Economic Performance and Prospects. In Economic Report 2015/16 (pp. 3–11). Malaysia.

      [29]. EPU. (2017a). 2016 Chapter 1 Economic Management and Prospects. Malaysia.

      [30]. EPU. (2017b). 2016/17 Public Sector Finance. Malaysia. Retrieved from www.treasury.gov.my/pdf/economy/er/1617/chapter4.pdf

      [31]. Euromonitor. (2017). Malaysia Country Factfile. Retrieved March 20, 2017, from http://www.euromonitor.com/malaysia/country-factfile

      [32]. Fadli, M. (2017, February 23). Skim pembiayaan baru PR1MA tak selesai masalah rakyat , kata Amanah. Freemalaysiatoday.com.

      [33]. Fazilah, R., Rozlin, Z., & Maimunah, A. (2016). Equilibrium price modelling of an affordable housing in Malaysia. International Journal of Supply Chain Management, 5(3), 126–132.

      [34]. Foo, L. H. R. (2010). The Institutional Structure of Residential Development Industry in Malaysia. The University of Manchester.

      [35]. Foo, Y. N. (2015, November 21). Will slowdown make houses more affordable ? TheEdgeProperty.com. Malaysia. Retrieved from http://www.theedgeproperty.com.my/content/will?slowdown?make?houses?more?affordable

      [36]. Hisyam, K. (2013, September 3). “We canâ€t afford to build affordable housing ’. Kinibiz. Malaysia.

      [37]. Ida, Lim. (2015, February 21). PR1MA initiative a “total failureâ€, consultant claims. Malaymail Online. Malaysia.

      [38]. IMF. (2017). House Prices Around the World. Retrieved May 4, 2017, from http://www.imf.org/external/research/housing/data/HousePricesAroundtheWorld.csv

      [39]. iProperty.com. (2016). ASIA PROPERTY MARKET SENTIMENT REPORT (H2). Malaysia.

      [40]. Jamaluddin, N. B., Abdullah, Y. A., & Hamdan, H. (2016). Encapsulating the delivery of affordable housing : An overview of Malaysian practice. MATEC Web of Conferences, 66(47), 1–8.

      [41]. JMA. (2017). Japan Consumer Price Index. Retrieved April 14, 2017, from https://www.japanmacroadvisors.com/page/category/economic-indicators/inflation-and-prices/cpi/

      [42]. Khan, R. A., Liew, M. S., & Ghazali, Z. Bin. (2014). Malaysian Construction Sector and Malaysia Vision 2020: Developed Nation Status. In 2nd World Conference On Business, Economics And Management - WCBEM 2013 (Vol. 109, pp. 507–513). Malaysia: Elsevier B.V. http://doi.org/10.1016/j.sbspro.2013.12.498

      [43]. Khazanah Research Institute. (2015). Making Housing Affordable. Retrieved from http://www.krinstitute.org/form_getfiledownload.aspx?id=b96679d6-20e8-4597-b9d6-8ae0549f9d6c&type=2

      [44]. Khazanah Research Institute II. (2016). The State of Households. Khazanah Research Institute. Kuala Lumpur, Malaysia.

      [45]. MHLG. (2011). Arikel 3: Housing in the New Millennium ? Malaysian Perspective. Retrieved February 11, 2017, from http://ehome.kpkt.gov.my/index.php/pages/view/297

      [46]. MHLG. (2012). Artikel 4: TOWARDS SUCCESSFUL HOUSING DEVELOPMENT IN MALAYSIA. Retrieved February 11, 2017, from http://ehome.kpkt.gov.my/index.php/pages/view/229

      [47]. MHLG. (2016). KPKT Selected Statistics Until 30 SEPTEMBER 2016. Malaysia: Ministry of Urban and Local Wellbeing.

      [48]. Michael, K. Y. (2014). The housing delivery system in Malaysia - Opportunities & challenges. In International Union for Housing Finance.

      [49]. Milken Institute. (2014). Toward Affordable Housing in Israel. Israel.

      [50]. Murphy, P. (2000). Urban governance for more sustainable cities. European Environment: The Journal of European Environmental Policy (Wiley), 10(5), 239–246.

      [51]. nakono. (2017). Households: Average Household Size (68 countries). Retrieved March 21, 2017, from https://www.nakono.com/tekcarta/databank/households-average-household-size/

      [52]. NAPIC. (2016a). Summary of Existing Stock for Residential, Commercial, Leisure and Industrial property Sub-sector as at Q1-Q4 2015. Malaysia: National Property Information Center.

      [53]. NAPIC. (2016b). Press Release: Malaysia Property Market 2015. Malaysia: National Property Information Center.

      [54]. NAPIC. (2016c). Volume and Value of Property Transaction by Sub-sector year 2001 - 2015. Malaysia: National Property Information Center. Retrieved March 20, 2017, from http://napic.jpph.gov.my/portal

      [55]. NAPIC. (2017a). Residential Property Stock Table Q4 2016. Malaysia: National Property Information Center.

      [56]. NAPIC. (2017b). The Malaysian House Price Index. Malaysia: National Property Information Center.

      [57]. NAPIC. (2017c). Newly Launched Residential Units And The Sales Performances (Q1 2016 , Q2 2016, Q3 2016 And Q4 2016) By State, District, Type And Price Range In Malaysia As At Q4 2016. Malaysia: National Property Information Center.

      [58]. NAPIC. (2017d). Property Sales Data – Q3, 2016 Malaysia Q3 2016. Malaysia: National Property Information Center.

      [59]. The Malaysian House Price Index. Malaysia: National Property Information Center.

      [60]. Nurbaity, A. M., & Amilia, H. (2010). Housing Policy for the poor in Malaysia and Indonesia.

      [61]. Nuruddin, A. R., Abu Bakar, S. P. S., & Jaafar, M. (2015). Unveiling the challenges faced by Malaysian housing developers through government policy changes. Journal of Construction in Developing Countries, 20(2), 37–52.

      [62]. Olanrewaju, A., Rashid, A., Aziz, A., Tan, S. Y., Tat, L. L., & Mine, N. (2016). Market analysis of housing shortages in Malaysia. In Creative Construction Conference 2016 (pp. 317–322).

      [63]. Paramesran, R. (2013). The Role of the Banking System. In HOUSING THE NATION: Policies, Issues and Prospects (pp. 137–128). Malaysia: Cagamas Holdings Berhad.

      [64]. Rahimy, R. (2016, October 24). Experts laud affordable home policies. The Star Online. Malaysia.

      [65]. Razak, D. A., Mohammed, M. O., & Tarique, K. M. (2015). Abandoned Housing Projects in Malaysia and the Prospect of DP: An Overview. Procedia Economics and Finance, 31(15), 813–822.

      [66]. REHDA. (2016, August). Scenario of Malaysian Housing Loan. REHDA Bulletin Feature Article.

      [67]. REHDA. (2017, August). REHDA Budget Wishlist 2017. REHDA Bulletin Feature Article, 4–6.

      [68]. SUHAKAM (Human Right Commission of Malaysia). (2013). 2012 Annual Report. Malaysia.

      [69]. Saleh, M. (2016, September 16). Affordable housing vis -a- vis moneylending ­ what say you ... Malaysiakini. Malaysia.

      [70]. Syed, J. Z. (2016, October 18). How a Skewed System keeps house prices high and developers rich. Malaymail Online. Malaysia

      [71]. Syed, N. (2016, February 23). Bizarre issue of fresh grad salaries. New Straits Times.

      [72]. Tan, W. K. (2013). Meeting the Needs of Homeownership. In HOUSING THE NATION: Policies, Issues and Prospects (p. 9). Malaysia: Cagamas Holdings Berhad.

      [73]. UN-Habitat. (2011). Affordable Land and Housing in Asia.

      [74]. G.Vinod. (2013, February 20). A 10-year wait and still no homes. Free Malaysia Today.

      [75]. What Affordability Means To Developers. (August 24, 2012). New Straits Times. Malaysia.

      [76]. Woetzel, J., Ram, S., Mischke, J., Garemo, N., & Sankhe, S. (2014). A blueprint for addressing the global affordable housing challenge. McKinsey Global Institute, (October), 212.

      [77]. World Bank. (1989). Malaysia the Housing Sector Getting the Incentives Right.

      [78]. Zunaira, S. (2016, December 22). PR1MA sets realistic targets. The Star Online. Malaysia.

  • Downloads

  • How to Cite

    Teng Teoh, C., Lateef Olanrewaju, A., & Yeow Tan, S. (2018). Exploring Housing Governance in Malaysia. International Journal of Engineering & Technology, 7(3.21), 293-300. https://doi.org/10.14419/ijet.v7i3.21.17176