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Mahathir’s arrogant reply to Sultan of Johor betrays that his economic outlook is still stuck in the past.
He continues to demand that investments in Manufacturing is what is needed even though manufacturing investments normally provides lower income jobs that are now majority filled by migrant workers.
He continues to ignore the Services sector, which developed economies know is essential to higher-value jobs.
Mahathir seems to be stuck in “developing country” mode rather than to be a developed country – a key reason why Malaysia was stuck in the middle-income trap for so long due to this policies.
Mahathir continues to say that manufacturing investments will provide jobs for locals.
However, the problem with this is that we no longer have an unemployment problem. In fact, due to reliance on cheap labour, manufacturing requires huge amount of foreign workers.
Walk into any factory in Malaysia and you will see that the majority are foreign workers nowadays.
As very evident in Mahathir’s thinking, Malaysians are still “low-cost labour” to him.
This is why since 2009, the Najib govt’s focus was to put greater emphasis on developing the services sector – rather than just the manufacturing sector,
Manufacturing investments are not ignored and still heavily promoted but with an emphasis on higher value and automated manufacturing. Various incentive are still offered to them.
As you can see from the graph below, manufacturing investments are still strong – and much higher than Mahathir’s era.
But a new focus is on the services industry and services exports. Services are now the biggest sector and comprised 53.9% of our GDP in 2015. In a sign of success, our services sector exports continue to grow with RM135 billion recorded that year.
In the USA, the services sector comprises 80% of their GDP and 81% of their employment.
As you can from the graph, the services sector investments have grown dramatically since 2009 and have now overtaken the manufacturing sector.
This is where the future of Malaysia lies – high value knowledge-based services jobs filled by locals.
Not low-value manufacturing jobs filled by foreigners as promoted by Mahathir.
Also, Mahathir is wrong to accuse the Johor Sultan of “selling the country” as that Forest City land is fully to be reclaimed and is not even land now. So how can you say sell Malaysia?
After reclamation, it would just add to the size of Johor and its sovereign area.
Source: Malaysia Today
It has been a weekend of utter confusion during Pribumi’s party launch. So many people are issuing statements and one person is contradicting the other. Ultimately Mahathir is playing a double-game and the contradictions are meant to hide the truth through confusion. As the saying goes: if you have no explanation then confuse them. Najib, however, knows what game Mahathir is playing, which is the same game since 2014.
Last Saturday was the official launch of Parti Pribumi Bersatu Malaysia (a.k.a. PPBM or Pribumi) at the Malawati Stadium in Selangor. However, I can only describe this whole episode as a weekend of utter confusion and it appears like Tun Dr Mahathir Mohamad and his gang of Pribumi leaders, plus their comrades from Pakatan Harapan, do not know whether they are coming or going.
First of all, the newspapers reported that PAS attended the party launch. Today, however, PAS Selangor announced that it did not attend the launch as reported.
Then Mahathir announced that BR1M will be continued if the opposition comes to power. Selangor Menteri Besar Azmin Ali, however, contradicted Mahathir and insisted that BR1M is a bribe and will be discontinued if Pakatan Harapan comes to power (READ HERE: Azmin maintains that BR1M is ‘corrupt’, won’t be continued if opposition win GE14).
Lim Guan Eng then announced that not only will GST be abolished but highway toll charges as well (READ HERE: DAP: No GST, toll if Pakatan takes Putrajaya). However, Guan Eng did not announce how much this entire exercise is going to cost the government, which in the end is going to cost billions and will be borne by the taxpayers who do not even use the toll highways (as opposed to now: you pay only if you use the highways).
Mahathir then announced that since GST is going to be abolished and the government is going to lose RM40 billion a year, the GST will be replaced by a sales tax. So that means the government will still be collecting RM40 billion a year from Malaysians but they will just change the name from ‘GST’ to ‘Sales Tax’. Nevertheless, collecting RM40 billion in Sales Tax every year is better and fairer than collecting RM40 billion GST.
Mahathir then insulted PAS in his speech but at the same time said that the opposition must be united and avoid three-corner or more contests in the next general election. So this means PAS must join the opposition coalition. But it will be impossible for PAS to join Pakatan Harapan after DAP closed down Pakatan Rakyat and announced that a new coalition called Pakatan Harapan would be formed and PAS will not be invited or allowed to join the new coalition.
So, to save face for both PAS and DAP, Muhyiddin Yassin announced that Pakatan Harapan would change its name to Barisan Rakyat. Continue reading
Source: News Straits Times
Azmin maintains that BR1M is ‘corrupt’, won’t be continued if opposition win GE14
PKR deputy president Datuk Seri Mohamed Azmin Ali is standing firm by his belief that the 1Malaysia People’s Aid (BR1M) scheme is ‘corrupt’ and that it will not be continued if Pakatan Harapan were to win the 14th General Election.
He maintained that it is a form of bribery.
“BR1M is corrupt and I will fight against corruption.”
“Why should I condone such acts,” he asked when met by reporters at the state secretariat building after addressing the monthly state assembly, here today. His stand appears to be in stark contrast with that of Parti Pribumi Bersatu Malaysia (PPBM) chairman Tun Dr Mahathir Mohamad, who has since backpedaled on his earlier claims that BR1M should be abolished.
At the launch of PPBM over the weekend, Dr Mahathir had said that the BR1M assistance would be continued if the opposition pact succeeds in taking over Putrajaya. Dr Mahathir had said that the financial assistance to the people will be made into ‘statutory assistance’ which will determined by the law and budget.
Azmin noted that Dr Mahathir had said that if necessary, BR1M will be maintained through an institution which will be more transparent. “It will not be managed by politicians, unlike what is happening now. Such financial assistance should not be included in the election manifesto,” said Azmin. Last year, Dr Mahathir had claimed that BR1M was a form of corruption. He had accused Prime Minister Datuk Seri Najib Razak of using the aid to win public support for the coming 14th General Election.
At yesterday’s PPBM launch, despite saying that introducing a new tax called GST tax has caused inflation and menyusahkan rakyat, Mahathir says he will abolish GST and in its place, he will introduce a NEW sales tax with a different name.
Firstly, the one-off spike in inflation for GST is already over. It will not be used as an excuse again by merchants to increase price. If you abolish GST and introduce a new tax, it will certainly be yet another excuse for merchants to increase prices and spike inflation again.
Secondly, sales taxes are ancient and 95% of the majority of countries have already moved to the more modern GST/VAT to combat tax evasion, mitigate the illegal “black: economy and to reduce illicit outflows.
Moving back to sales tax just allows his cronys to resume tax evasion and engage back in illicit outflows.
What kind of party would move back from a modern tax system to an ancient tax system already rejected by the modern world?
For years, Mahathir also frequently attacked BR1M and allege that it is corruption and a bribe that would make people lazy and over-dependent on the government.
But now he says BR1M will be retained and put into statutory law. So he wants to put into law a system that is corruption and a bribe that would make people lazy and over-dependent on the government?
The fact that there are some people who had cheered Mahathir and agreed on every word he says despite the multiple U-Turns shows that Mahathir and parti Cap Bunga supporters have backward thinking and simply not too smart.
1. We express our thanks to the team of Alyaa Azhar, Aidila Razak and Nigel Aw at MalaysiaKini for doing a fact check on the recent exchanges between PKR MP YB Rafizi Ramli and ourselves.
2. We encourage MalaysiaKini and other media organizations to continue with such fact-checking as the opposition has been getting away with lies after lies in their attempt to instigate the rakyat for Pakatan’s own benefits. In particular, we request that MalaysiaKini also does a fact check for the recent arguments between DAP Secretary General Lim Guan Eng and Gerakan Secretary General Liang Teck Meng on whether Penang’s accumulated surplus was due to sale of state land and assets and to cover its 3 fold increase in administrative spending from 2008 to 2015.
3. MalaysiaKini’s fact checks had confirmed much of our rebuttals against YB Rafizi’s continued lies in his various press conferences and statements. Among these are:
a) YB Rafizi incorrectly said the cost of MRT1 SBK is RM21 billion for 21km when it was for 51km – thus claiming incorrectly that the cost was RM1 billion per km. This implies that YB Rafizi had overestimated the cost of MRT1 SBK by RM30 billion.
b) YB Rafizi had tried to pass on a bare tunnel project in Barcelona is an MRT project in an attempt to compare with the complete MRT project in an attempt to say Malaysia’s MRT project is more expensive than the projects in Spain.
c) YB Rafizi had used information from an unverified and anonymous WordPress blog called “Pedestrian Observation”, which has now been proven incorrect. To make it worse, YB Rafizi had selectively used the cheapest two examples out of 25 examples of MRT projects in an attempt to accuse the government of overpaying.
The only part where MalaysiaKini had disputed in our past statement was when they disagreed with the cost cited by us for the Seoul MRT line. However, MalaysiaKini’s cost estimation is also different from what YB Rafizi cited. So we will let this slide. Continue reading
In 2014 when Tan Sri Muyhiddin Yassin visited China, he urged for more China investment in Malaysia. And now apa sudah jadi dengan beliau? Otak sudah rosak?