From Left: Darren Choy, Chairman of RIM, Datuk Seri Dr. Salleh Said Keruak, Minister of Communications and Multimedia Malaysia, and Dato' Norman Abdul Halim, Chairman of IFPI Asia-Pacific Regional Board. Photo by : RIM
The Recording Industry Association of Malaysia (RIM) is targeting to achieve a combined value of RM500 million per year for the local music industry in 10 years, by 2028. The announcement was made at the recent inaugural RIM Townhall in Kuala Lumpur, which was officiated by the Minister of Communications and Multimedia Malaysia, Datuk Seri Dr. Salleh Said Keruak.
The target was set following the launch of its first economic impact study report titled, RIM-PwC Economic Impact Study of the Malaysian Music Industry, which assessed the economic impact of the Malaysian music industry from 2011-2015.
Malaysian music industry as a whole generated an “economic output” of approximately RM12.2 – RM13.4 billion a year, and made an impact towards the country's GDP at about RM 5.5 - RM 6.1 billion per year. To achieve the ambitious target, RIM has outlined a long term industry development strategy with four main pillars: Policy, Talent, Economic and Infrastructure. Within these four pillars for growth, there are various initiatives planned which will be crucial in enabling the industry to move forward and grow as one.
Moreover, RIM highlighted three key strategic focus areas: Coordinator for Music Industry, Rewards & Recognition and Tax Breaks or Incentives, as the first step towards achieving a combined value of half a billion for the industry within 10 years. Focusing on closing the gap between the music industry players and the government via introduction of tax breaks and incentives as well as recognising the achievements of local talents, the strategies will allow more investments through private corporations and inspire more young talents to join the music industry
"We are tremendously proud of this achievement and finally, I am able to share the findings publicly which I hope can inspire all stakeholders and public to support the development of the Malaysian music industry and bring forth greater results for the local music industry," said Darren Choy, Chairman of RIM.
Datuk Seri Dr. Salleh Said Keruak commented: "I believe it is very important for the government to take advantage of these proven facts and figures in public policy making, as the Malaysian government is committed in working with the music industry to grow this sector and increase its contribution to the growth of the economy as a whole."
Overall, the industry has registered a steady growth rate of 3.7% year-on-year over a period of 10 years, and while sales revenue have consistently declined over the years – licensing revenue grew at 8.9% over a period of ten years.