Prime Minister Najib Razak on Friday unveiled a record 212 billion ringgit ($69 billion) of spending in the budget, up nearly 3 percent over 2010, as he sought to kick-start plans to turn Malaysia into a developed nation by 2020.

The government raised its economic growth forecast this year to 7 percent from 5-6 percent but expects growth to ease to 5-6 percent in 2011 amid global economic uncertainties.

To spur private investment, Najib said the government will step up partnerships with the private sector in infrastructure and invest in projects including a 40 billion ringgit ($13 billion) mass rail transit network for its largest city Kuala Lumpur and a 100-story tower — the highest in Malaysia.

"I present a budget that lays the foundation for Malaysia to become an advanced nation. The 2011 budget is formulated with firm determination to bring significant changes to the nation's development and the well-being of the people," he said.

The projects are part of a new 10-year blueprint, dubbed the Economic Transformation Program, that aims to make Malaysia a high-income nation. The government has said it will need to lure $444 billion of investments but some analysts have warned the plans are unrealistic.