A Kadir Jasin
COULD we
be facing a systemic economic failure of a more dreadful magnitude than the
1997/98 crisis?
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Anonymous comments will not be published.]
The
telltale signs are many. But whereas the 1997/98 crisis was brought about
largely by an external factor, that is the Asian Financial crises, the current
meltdown could be domestic.
Granted
that the whole world is facing economic slowdown due to the fall in commodity
prices, especially petroleum, our predicament is two-prong.
We suffer
the effects of falling commodity prices but more dangerously we are also facing
a serious trust deficit due to the poor leadership and corruption of the ruling
party – the Barisan Nasional.
When we
were once the darling of foreign direct investors, we are today lagging far
behind the regional countries. Even the powerhouse China, which is being so
desperately coaxed and favoured by Putrajaya, is not favouring us as a
manufacturing site.
A recent
survey by the Standard Chartered Banking Group published by the Edge Financial
Daily says that while Asean remains the preferred destination for China
manufacturers looking to relocate their production facilities, Malaysia is,
however, not their popular choice.
The report
notes that the growing intention to move out of the mainland reflects the rapid
rise in wages in the inland China cities.
Among those
opting to move capacity overseas, Cambodia and Vietnam are the most favoured
destinations. Up to 25 per of the respondents favour the two countries while
just about two percent favour Malaysia.
|
China companies do not favour Malaysia |
Of course
our “loyar buruk” ministers and their dedak eating mouthpieces would argue that
we are way too advanced for cheap China manufactures. Sadly we are also losing
the interest of high end manufacturers from Japan, the US and Europe. They are
leaving our country after decades of fruitful presence.
The trust
deficit in our scandal-ridden government, especially in the Prime Minister, (Datuk Seri I Mappadulung Daeng Mattimung Karaeng Sandrobone Sultan Abdul
Jalil) Mohd Najib Abdul Razak, is so bad that almost all confidence indicators are down.
By the
way, the longish tiresome title preceding Najib’s name is the Bugis warrior
title awarded to him in 2005 by the remnants of the long defunct Gowa Bugis
Empire in Sulawesi in honour of his Bugis hereditary.
Although
the exchange rate of the ringgit is on the mend – after falling to almost
RM4.50 to a dollar in September 2015 – it remains the weakest currency among
Asean countries. Its 90-day historical rates to June 21 ranged between RM4.24 and
RM4.43 to a dollar.
Even the
inflow of short term capital into Bursa Malaysia remains tentative – amounting
to RM4.7 billion until end of March this year. This is pale in comparison to
the whopping outflow of RM19.5 billion in 2015.
All Is Not
Well...
On the
socio-welfare front, we are also heading towards a meltdown. The bad news keeps
piling up. The RM20-per kilogram ikan kembung (Indian Mackerel) is now a norm.
The weak ringgit and the GST are beating the consumers to pulp.
Even the
much touted increase in retail sales is contributed largely by the higher
prices consumers have to pay due to the falling ringgit and the GST. In real
term they take home much less goods.
More recently
it was reported that as many as 500 clinics run by general practitioners (GPs) had been closed between 2014 and 2016 due to poor business.
The
Malaysian Medical Association (MMA) President, Dr Ravindran R. Naidu, said a
study involving 1,800 GPs revealed widespread concern over the financial
sustainability of their clinics.
The
findings showed almost 70% of clinics saw fewer than 30 patients a day, while
the operating cost of a clinic in an urban area ranges from RM50,000 to
RM60,000 a month. He is worried that the situation may worsen.
It already
is getting worse. A doctor nephew of mine, who works at a government hospital
in Selangor, told me a month ago that more and more patients, who hitherto,
visited private clinics are now flocking the already clogged government
hospitals and health centres.
|
Public hospitals are getting more crowded |
He and
his colleagues are overworked and they are seeing less and less patients when
they do the locum at private clinics to supplement their moderate government
income.
This is
bad news all around because budget allocations for health and other welfare
services, including the all critical education, have been drastically reduced.
A case of double whammy for the public social services – getting less money but
having to cater to a larger number of clients.
Even
middle and upper level private sector retirees are abandoning the private
medical services in favour of the cheaper government and semi-government
medical centres like University Malaya Medical Centre (PPUM) and the National
Heart Institute (IJN). The queues are getting longer at these facilities.
Sadly,
while the rakyat’s hardship keeps mounting and the country’s reputation is
going down the chute, the BN ruling elite continues with their shenanigans.
In the
most recent case, a minister’s newly acquired spouse is accused of inappropriately
using the standard issue government calling cards to publicise herself as
quasi-Tourism Malaysia representative in Paris.
|
A New Official Title? Spouse-Minister |
Her
husband’s response to the social media bombardment was meek at best. He said he
did not give her the permission but added that not all officers listen to him.
Of course
this is pale in comparison to the alleged gift of a US$27-million pink diamond
locket by 1MDB point man Jho Low, to Najib’s wife, (Datin Paduka Seri Puan Puti Reno) Rosmah Mansor. The Puan Puti Reno bit is
her top-notch Minangkabau royal award.
What we
are witnessing today is symptomatic of a rudderless leaderless government. It’s
sad but it’s also true.
Wallahuaklam - only God knows.