BANGI, May 19 (Bernama) -- The government will not halt or postpone any public construction projects despite rising costs driven by global supply disruptions linked to geopolitical tensions in West Asia, according to Works Minister Alexander Nanta Linggi.
He said the government remained committed to proceeding with all approved projects, including those that had already received letters of acceptance, even as the construction industry faces higher logistics, transportation and building material costs.
“At present, there are no projects that need to be stopped, and we do not intend to halt any projects because the construction industry is an engine of growth for our economy,” he told reporters after officiating the Builders Industry Forum and Awards (BIFA) 2026 here today.
Nanta said the government was also studying several short-, medium- and long-term mitigation measures to help the industry cope with mounting cost pressures.
However, he stressed that the current situation did not yet warrant drastic intervention measures such as the broad implementation of Variation of Price (VOP), which could have implications for government finances.
Nanta said one of the approaches discussed during a recent National Economic Action Council meeting was a cost-sharing mechanism between the government and contractors to ease the burden of rising prices in the construction sector.
Commenting on BIFA 2026, the minister said the programme provided industry players with greater exposure to the latest developments in global construction best practices, including compliance with environmental standards, the adoption of green technology and sustainability measures.
“A great deal of up-to-date information was shared, particularly on governance and compliance in the construction industry, including from the perspective of green technology and environmental practices,” he said.
He added that initiatives such as BIFA were important in helping local industry players adapt to the changing global construction landscape, which is increasingly focused on low-carbon development, energy efficiency and the use of modern technology in project implementation.
“At present, there are no projects that need to be stopped, and we do not intend to halt any projects because the construction industry is an engine of growth for our economy,” he told reporters after officiating the Builders Industry Forum and Awards (BIFA) 2026 here today.
Nanta said the government was also studying several short-, medium- and long-term mitigation measures to help the industry cope with mounting cost pressures.
However, he stressed that the current situation did not yet warrant drastic intervention measures such as the broad implementation of Variation of Price (VOP), which could have implications for government finances.
Nanta said one of the approaches discussed during a recent National Economic Action Council meeting was a cost-sharing mechanism between the government and contractors to ease the burden of rising prices in the construction sector.
Commenting on BIFA 2026, the minister said the programme provided industry players with greater exposure to the latest developments in global construction best practices, including compliance with environmental standards, the adoption of green technology and sustainability measures.
“A great deal of up-to-date information was shared, particularly on governance and compliance in the construction industry, including from the perspective of green technology and environmental practices,” he said.
He added that initiatives such as BIFA were important in helping local industry players adapt to the changing global construction landscape, which is increasingly focused on low-carbon development, energy efficiency and the use of modern technology in project implementation.