KUALA LUMPUR, Aug 23 — The government should set up a Core Economic Action Council (CEAC), Umno president Datuk Seri Zahid Hamidi said today at his party’s annual general meeting here.

He said the CEAC can potentially increase Malaysia’s revenue by utilising its resources.

"This council is considered necessary considering that the country is turning to new sources of growth and production, such as rare earths, digital economy, innovation and green investment as well as TVET higher education,” he said in his policy speech.

"In addition, through this CEAC, the government can also consider a progressive taxation regime to increase national income,” added Zahid who is also deputy prime minister.

The suggestion is a part of Umno’s five agenda in this year’s Umno assembly.