Highlights of Xi's keynote speech at second Belt and Road Forum

https://youtu.be/qB80PG8C-I0
https://youtu.be/VWid1poNGuk
https://youtu.be/L67WJiO_CQk
https://youtu.be/eWOMhvTrrOg

Chinese President Xi Jinping delivered a keynote speech at the opening ceremony of the Second Belt and Road Forum for International Cooperation (BRF) in Beijing on Friday. Here are the highlights:

On Belt and Road Initiative

Xi said that the Belt and Road Initiative (BRI) aims to build a trade and infrastructure network, adding that joint building of the Belt and Road has opened up new space for the world's economic growth.

Based on the principles of equality and mutual benefit, the BRI focuses on connectivity and practical cooperation to achieve win-win outcomes and common development.

The principle of extensive consultation, joint contribution and shared benefits should be upheld, Xi said, and open, green and clean approaches should be adhered to.

The goals of high-standard, livelihood-improving and sustainable development should be achieved, according to Xi.

China will work with other parties to promote a coalition of sustainable cities and an international coalition for green development under the Belt and Road Initiative, Xi said.

High-quality infrastructure under BRI

Xi highlighted building infrastructure of high quality, sustainability, risk resilience, reasonable pricing, inclusiveness and accessibility under the BRI. 

Calling infrastructure the cornerstone of connectivity and a bottleneck of development confronting many countries, Xi said building infrastructure with such standards could help countries give full play to their advantages in resources and better integrate into the global supply, industry and value chains for interconnected development.

On people-to-people connectivity

China will support 5,000 people from the innovation sector in Belt and Road countries in conducting exchanges, training programs and joint research over the next five years.

China will work with other participants of the Belt and Road Initiative to promote scientific and cultural exchanges, set up joint science labs, build science and technology parks, and promote the transfer of technologies, Xi said. 

A total of 10,000 representatives of political parties, think tanks and non-governmental organizations from countries participating in the Belt and Road Initiative will be invited to China for exchanges in the next five years.

On trade and opening-up

Xi said that China will increase imports of goods and services on a larger scale, slash its negative list on imports and will negotiate and sign high-standard free trade agreements with more countries. 

China will further lower its tariff rates and the country would continuously open up its market and welcome quality products from around the world.

China is also willing to import more competitive farm produces, finished products and services and will allow foreign investors to operate businesses in more sectors with controlling or full stake.

China prohibits forced technology transfer

China will step up protecting the legitimate rights and interests of foreign owners of intellectual property rights, and prohibit the forced transfer of technology, Xi said.

It will create a business environment in which the value of knowledge is respected, Xi said.

Live: Xi addresses the Belt and Road Forum

(With input from Xinhua)

Read more

China's President Xi Jinping Speaks at Belt and Road Forum ...

 

China will not devalue yuan, Xi tells world leaders at Belt and Road ...

 

Xi's speech draws positive reactions at Second Belt and Road Forum ...

Six key takeaways from Xi Jinping's Belt and Road Forum speech to ...

 

Xi Jinping speech at Belt and Road Forum in Beijing - Reuters 

 

Panview栏目“ Belt & Road, China's bridge to the world"

 

China's Belt & Road Initiative | What Is It? Who's Paying?‎

 

China's Xi says
Belt and Road
must be green,
sustainable - Business NewsThe Star Online


Related post

Yes to Belt and Road - Everyone will benefit from BRI

 

Highlights of Xi's keynote speech at second Belt and Road Forum

https://youtu.be/qB80PG8C-I0
https://youtu.be/VWid1poNGuk
https://youtu.be/L67WJiO_CQk
https://youtu.be/eWOMhvTrrOg

Chinese President Xi Jinping delivered a keynote speech at the opening ceremony of the Second Belt and Road Forum for International Cooperation (BRF) in Beijing on Friday. Here are the highlights:

On Belt and Road Initiative

Xi said that the Belt and Road Initiative (BRI) aims to build a trade and infrastructure network, adding that joint building of the Belt and Road has opened up new space for the world's economic growth.

Based on the principles of equality and mutual benefit, the BRI focuses on connectivity and practical cooperation to achieve win-win outcomes and common development.

The principle of extensive consultation, joint contribution and shared benefits should be upheld, Xi said, and open, green and clean approaches should be adhered to.

The goals of high-standard, livelihood-improving and sustainable development should be achieved, according to Xi.

China will work with other parties to promote a coalition of sustainable cities and an international coalition for green development under the Belt and Road Initiative, Xi said.

High-quality infrastructure under BRI

Xi highlighted building infrastructure of high quality, sustainability, risk resilience, reasonable pricing, inclusiveness and accessibility under the BRI. 

Calling infrastructure the cornerstone of connectivity and a bottleneck of development confronting many countries, Xi said building infrastructure with such standards could help countries give full play to their advantages in resources and better integrate into the global supply, industry and value chains for interconnected development.

On people-to-people connectivity

China will support 5,000 people from the innovation sector in Belt and Road countries in conducting exchanges, training programs and joint research over the next five years.

China will work with other participants of the Belt and Road Initiative to promote scientific and cultural exchanges, set up joint science labs, build science and technology parks, and promote the transfer of technologies, Xi said. 

A total of 10,000 representatives of political parties, think tanks and non-governmental organizations from countries participating in the Belt and Road Initiative will be invited to China for exchanges in the next five years.

On trade and opening-up

Xi said that China will increase imports of goods and services on a larger scale, slash its negative list on imports and will negotiate and sign high-standard free trade agreements with more countries. 

China will further lower its tariff rates and the country would continuously open up its market and welcome quality products from around the world.

China is also willing to import more competitive farm produces, finished products and services and will allow foreign investors to operate businesses in more sectors with controlling or full stake.

China prohibits forced technology transfer

China will step up protecting the legitimate rights and interests of foreign owners of intellectual property rights, and prohibit the forced transfer of technology, Xi said.

It will create a business environment in which the value of knowledge is respected, Xi said.

Live: Xi addresses the Belt and Road Forum

(With input from Xinhua)

https://youtu.be/0BjO9Ig2R4Q

Read more

China's President Xi Jinping Speaks at Belt and Road Forum ...

 

China will not devalue yuan, Xi tells world leaders at Belt and Road ...

 

Xi's speech draws positive reactions at Second Belt and Road Forum ...

Six key takeaways from Xi Jinping's Belt and Road Forum speech to ...

 

Xi Jinping speech at Belt and Road Forum in Beijing - Reuters 

 

Panview栏目“ Belt & Road, China's bridge to the world"

 

China's Belt & Road Initiative | What Is It? Who's Paying?‎

 

China's Xi says
Belt and Road
must be green,
sustainable - Business NewsThe Star Online


Related post

Yes to Belt and Road - Everyone will benefit from BRI

 

Happy Birthday Navy - Xi reviews multinational fleet in E China's port city

https://youtu.be/DQMDgfnTWpI

  https://youtu.be/dT7dvsO6vTg

Xinhua Headlines: Xi reviews multinational fleet, champions maritime community with shared future - Xinhua

 

Happy Birthday Navy

A grand naval parade was held on Tuesday off Qingdao, East China’s Shandong Province, marking the 70th anniversary of the Chinese People’s Liberation Army (PLA) Navy, which was founded on April 23, 1949.

 

 

 

Naval parade marks PLA Navy's 70th anniversary A grand naval parade was held on Tuesday off Qingdao, East China's Shandong Province, marking the 70th anniversary of the Chinese People's Liberation Army (PLA) Navy, which was founded on ..

  China's security helps regional stability

The PLA Navy will continue to grow. It will make great progress in hardware by its 80th anniversary. We hope this will be a process in which the Western Pacific Ocean consolidates peace and deepens reciprocal cooperation. 

Happy Birthday Navy - Xi reviews multinational fleet in E China's port city

https://youtu.be/DQMDgfnTWpI

  https://youtu.be/dT7dvsO6vTg 

https://youtu.be/MZ6W-f5Jg8k

Xinhua Headlines: Xi reviews multinational fleet, champions maritime community with shared future - Xinhua

 

Happy Birthday Navy

A grand naval parade was held on Tuesday off Qingdao, East China’s Shandong Province, marking the 70th anniversary of the Chinese People’s Liberation Army (PLA) Navy, which was founded on April 23, 1949.

 

 

 

Naval parade marks PLA Navy's 70th anniversary A grand naval parade was held on Tuesday off Qingdao, East China's Shandong Province, marking the 70th anniversary of the Chinese People's Liberation Army (PLA) Navy, which was founded on ..

  China's security helps regional stability

The PLA Navy will continue to grow. It will make great progress in hardware by its 80th anniversary. We hope this will be a process in which the Western Pacific Ocean consolidates peace and deepens reciprocal cooperation. 

Do you earn enough to sustain your lifestyle?

DO you know how much you need to sustain your lifestyle every month? Are you living within your budget or stretching to make ends meet?

We can now gain insights with the unveiling of Belanjawanku, an Expenditure Guide for Malaysian Individuals and Families, launched by the Employees Provident Fund (EPF) in early March.

The guide offers an idea of the living costs for respective household categories. It encompasses the expenditure on basic needs and involvement in society for a reasonable standard of living in the Klang Valley.

According to Belanjawanku, a married couple with two children spend about RM6,620 per month on food, transport, housing, childcare, utilities, healthcare, personal care, annual expenses, savings, social participation and discretionary expenses.

When I read this guide together with the income statistics published by the Statistics Department, it reveals that a vast majority of Malaysians can’t afford to live in the Klang Valley.

Based on the statistics, the median household income for Malaysian households in 2016 is RM5,228, far below the RM6,620 required for a family with two children to stay in the Klang Valley.

If we take a closer look, the median income of M40 group (Middle 40%) is RM6,275, which means five out of 10 households in this category received RM6,275 per month or less. This indicates that over 60% (40% from B40 households and half of the M40 households) of Malaysian households (if they have two children) can’t afford to stay in the Klang Valley.

What went wrong in the process? Why are many households having challenges to meet the required budget?

According to Belanjawanku, a married couple with two children spent the majority of their income on food (RM1,550), followed by childcare (RM1,150) and transport (RM1,040), then only on housing (RM870) and other items.

Based on the research, even if housing was provided for free, a household of four would still need RM5,750 to sustain their lifestyle. Therefore, the common perception that only housing is expensive is not right. It is not that housing is expensive, but that everything is expensive because of inflation over the years! The value of our currency has fallen due to global money printing measures over the past decade.

Belanjawanku compiles only core living expenses without luxury items or excessive spending. It also doesn’t include long-term financial planning tools such as funds for education or investments. If the majority of Malaysian households have challenges in meeting the existing expenses listed in the guide, it poses a serious concern on their future financial prospects.

The underlying factor of this challenge is the low household income earned by Malaysians. The previous government failed to move us to a high income nation as they had promised, and more families are stretching to make ends meet now. It may lead to serious financial problems in the future.

If median household incomes don’t increase, the B40 (Bottom 40%) and half of the M40 will always struggle even if housing is free, assuming that they aspire to have two children and to live in the Klang Valley.

According to Transparency International Malaysia, corruption had cost our country about 4% of its gross domestic product (GDP) value each year since 2013. Added together, this amounts to a high figure of some RM212.3bil since 2013. For 2017 alone, that figure was a whopping RM46.9bil!

Imagine what we can do with these monies if there was no leakage in the system? The previous government should have channeled the money to stimulate economic growth and increase the income of the rakyat.

Going forward, I am optimistic that the new government, with its promise of a clean and transparent government, can finally fix the leakage and focus on generating a higher income level for all Malaysian households.

Financial independence is a key factor in the overall well being of the rakyat. We need to increase household incomes to a level where families can meet their basic needs and embark on long-term financial planning, to elevate their quality of life.

Then, and only then, will housing and other living expenses finally become affordable.

By Food for thought By Alan Tong

Datuk Alan Tong has over 50 years of experience in property development. He is the group chairman of Bukit Kiara Properties. For feedback, email bkp@bukitkiara.com


 
Related posts:

Five challenges young Malaysians face with home ownership

For many young Malaysians, the road to owning a home is riddled with speed bumps. — Pexels 

Middle class malady

Struggling and frustrated: Most aid goes to the B40, leaving the M40 feeling adrift and on their own

Flat property market seen for Penang

.

Housing affordability is an income issue, what's with the fuss?

 

Moving forward with affordable housing

The ‘Tiger Woods’ act is not for Malaysia

 It's a long road towards being a tiger economy again

A month before the one-year anniversary of Pakatan Harapan’s ruling the government, Malaysia has earned the accolades of being a “boring” and under-performing stock market. The ringgit, which is the thermometer to gauge the economy, has weakened after the initial euphoria of appreciating as high as RM4 against the US dollar.

An economist had said that Malaysia without the Goods and Services Tax (GST) is too dependent on oil revenue. Budget 2019 was based on crude oil at US$70 and considering that the year-to-date average is lower, the country would not be able to keep to spending limits.

Ironically, the story of Malaysia’s being a “boring and under-performing” stock came as golfer Tiger Woods made a remarkable comeback to win his first major tournament since 2008. That was the time when the golfer’s on-course performance started to go downhill due to injuries and “off-course” affairs that led to a broken-marriage.

Sponsors stayed away from Tiger Woods and he lived with a tag as a great golfing talent that never made it. Now he is seen as a role model in the story of triumph against adversity. Woods US Masters win is now repeated as a story of why one must never give up and the fruits of labour will finally pay off.

Sadly, it only applies in the world of sports. In the sporting world, there are clear rules and everybody play within the rules or they are disqualified. Sports world is based on meritocracy. If you good and talented, you would be found - some way or other - even if you live in Borneo.

Sarawak has produced amongst Malaysia’s best sprinter and diver in Watson Nyambek and Pandelela Rinong who proved their worth based on merit.

Running a government to please people with different demands is not so easy. Meritocracy is only a slogan. It reality, it is hard to implement.

For instance, the government’s bail-out of Felda and Tabung Haji are seen as further straining the country’s balance sheet.

The fear that the of Budget 2019 objective of keeping fiscal deficit at 3.4% cannot be achieved considering that the government has to fork out RM6bil to rescue Felda.

However, what investors fail to realise is that the government cannot afford not to bail out the likes of Felda and Tabung Haji. It cannot operate completely on meritocracy and go by the book strictly because there are political considerations to weigh on.

Felda needs to be rescued because of the massive mismanagement of funds. It involves the lives of 120,000 settlers and many more, if their families are taken into account. The Felda settlers are important voter bank and determine 52 parliament seats.

Most of them are Malays who form the bulk of the voting population of the country as a whole.

Whether we like or not, issues that Felda and Tabung Haji face has to be resolved if there is to be any political stability.

The only consolation is that those who are responsible for the mismanagement of Felda, Tabung Haji, 1Malaysia Development Bhd (1MDB) would eventually pay a price.

In communist China, these people would have faced the firing squad.

In Malaysia, it takes time to penalise those responsible under the law. Pakatan Harapan’s messaging to investors is that it provides accountability, transparency and discipline in running the government. It revealed the total debts and a bigger budget deficit for 2019 and left it to investors to decide if they are prepared to put money in the country.

That it does not tolerate corruption is a message that is being drummed countless times.

Is there is a premium in being transparent, accountable and standing firm against corruption? Yes there is. But as a fund manager says, it does not tell investors where to put their money.

It does not tell investors if there is going to be a continuity to the government’s policies and who the next Prime Minister is going to be after Tun Dr Mahathir Mohamad. The fund manager says that Malaysia needs to tell another story, apart from governance and transparency.

Towards this end, a good line of messaging would be on addressing the political transition after Dr Mahathir.

The fund manager is right in his argument because long term capital needs political stability and leadership certainty.

Dr Mahathir, who is named as among the most powerful persons by Time Magazine, probably knows best why he is delaying in setting a firm time table to hand over power to the only person who has been named so far, which is Datuk Seri Anwar Ibrahim.

Probably because the minute Dr Mahathir announces the time-table to handover, he would be a lame duck Prime Minister, a role the 93-year veteran politician would not relish.

Apart from politics, the other matter bogging investors is the slowing Malaysian economy.

The concern is that the economic growth of 4.5% would not be met and that Bank Negara would be forced to bring down the interest rates.

When interest rates are down because of a slowing economy, it dampens sentiments on the ringgit and puts yields of bonds under pressure.

The prospects of a lower yield and weakening currency are just the catalysts needed for bond investors to take some money off the table.

The unfavourable rating by little known Russel Fund Index earlier this week did not help matters. The end result is that the government bonds are under pressure and so is the ringgit.

The government should keep up with doing the things it can best do, which are enhancing transparency, governance and being more careful in handling public funds. Investors will view with scepticism until they see hard numbers on the economy and consistency in growth.

The Malaysian stock market was among the world’s best in 1993 on the back of a roaring economy that started its growth path some four years earlier.

The economy over-heated, the government got carried away with spending and we paid a heavy price by the ringgit and stock market crashing. It all came down with a thud in 1997.

The Pakatan Harapan government wants to see Malaysia be a “tiger economy” once again.

But it would not be easy. The road ahead is treacherous with lots of obstacles – balancing the demands of the political and social agenda.

We cannot do it the Tiger Woods way because there is no meritocracy when it comes to governing a country. But we will get there eventually as long as we stay the course.

The Alternative view by M Shanmugam

Related posts:

 

FELDA WHITE PAPER reveals SHADY DEALS

 

More big corrupt officials nabbed: Datuk among those busted for graft & mismanagement

 

PAS left in a state of confusion, the only way is to lie

  

 

 

How Tabung Haji became an unregulated ‘bank’

Obscene HRDF, skill training for corruption !

 

Govt-linked companies (GLCs) shake-up as they sing a different tune

Do you earn enough to sustain your lifestyle?

DO you know how much you need to sustain your lifestyle every month? Are you living within your budget or stretching to make ends meet?

We can now gain insights with the unveiling of Belanjawanku, an Expenditure Guide for Malaysian Individuals and Families, launched by the Employees Provident Fund (EPF) in early March.

The guide offers an idea of the living costs for respective household categories. It encompasses the expenditure on basic needs and involvement in society for a reasonable standard of living in the Klang Valley.

According to Belanjawanku, a married couple with two children spend about RM6,620 per month on food, transport, housing, childcare, utilities, healthcare, personal care, annual expenses, savings, social participation and discretionary expenses.

When I read this guide together with the income statistics published by the Statistics Department, it reveals that a vast majority of Malaysians can’t afford to live in the Klang Valley.

Based on the statistics, the median household income for Malaysian households in 2016 is RM5,228, far below the RM6,620 required for a family with two children to stay in the Klang Valley.

If we take a closer look, the median income of M40 group (Middle 40%) is RM6,275, which means five out of 10 households in this category received RM6,275 per month or less. This indicates that over 60% (40% from B40 households and half of the M40 households) of Malaysian households (if they have two children) can’t afford to stay in the Klang Valley.

What went wrong in the process? Why are many households having challenges to meet the required budget?

According to Belanjawanku, a married couple with two children spent the majority of their income on food (RM1,550), followed by childcare (RM1,150) and transport (RM1,040), then only on housing (RM870) and other items.

Based on the research, even if housing was provided for free, a household of four would still need RM5,750 to sustain their lifestyle. Therefore, the common perception that only housing is expensive is not right. It is not that housing is expensive, but that everything is expensive because of inflation over the years! The value of our currency has fallen due to global money printing measures over the past decade.

Belanjawanku compiles only core living expenses without luxury items or excessive spending. It also doesn’t include long-term financial planning tools such as funds for education or investments. If the majority of Malaysian households have challenges in meeting the existing expenses listed in the guide, it poses a serious concern on their future financial prospects.

The underlying factor of this challenge is the low household income earned by Malaysians. The previous government failed to move us to a high income nation as they had promised, and more families are stretching to make ends meet now. It may lead to serious financial problems in the future.

If median household incomes don’t increase, the B40 (Bottom 40%) and half of the M40 will always struggle even if housing is free, assuming that they aspire to have two children and to live in the Klang Valley.

According to Transparency International Malaysia, corruption had cost our country about 4% of its gross domestic product (GDP) value each year since 2013. Added together, this amounts to a high figure of some RM212.3bil since 2013. For 2017 alone, that figure was a whopping RM46.9bil!

Imagine what we can do with these monies if there was no leakage in the system? The previous government should have channeled the money to stimulate economic growth and increase the income of the rakyat.

Going forward, I am optimistic that the new government, with its promise of a clean and transparent government, can finally fix the leakage and focus on generating a higher income level for all Malaysian households.

Financial independence is a key factor in the overall well being of the rakyat. We need to increase household incomes to a level where families can meet their basic needs and embark on long-term financial planning, to elevate their quality of life.

Then, and only then, will housing and other living expenses finally become affordable.

By Food for thought By Alan Tong

Datuk Alan Tong has over 50 years of experience in property development. He is the group chairman of Bukit Kiara Properties. For feedback, email bkp@bukitkiara.com


 
Related posts:

Five challenges young Malaysians face with home ownership

For many young Malaysians, the road to owning a home is riddled with speed bumps. — Pexels 

 

Middle class malady

Struggling and frustrated: Most aid goes to the B40, leaving the M40 feeling adrift and on their own

 

 

Flat property market seen for Penang

.

 

Housing affordability is an income issue, what's with the fuss?

 

Moving forward with affordable housing

The ‘Tiger Woods’ act is not for Malaysia

 It's a long road towards being a tiger economy again

A month before the one-year anniversary of Pakatan Harapan’s ruling the government, Malaysia has earned the accolades of being a “boring” and under-performing stock market. The ringgit, which is the thermometer to gauge the economy, has weakened after the initial euphoria of appreciating as high as RM4 against the US dollar.

An economist had said that Malaysia without the Goods and Services Tax (GST) is too dependent on oil revenue. Budget 2019 was based on crude oil at US$70 and considering that the year-to-date average is lower, the country would not be able to keep to spending limits.

Ironically, the story of Malaysia’s being a “boring and under-performing” stock came as golfer Tiger Woods made a remarkable comeback to win his first major tournament since 2008. That was the time when the golfer’s on-course performance started to go downhill due to injuries and “off-course” affairs that led to a broken-marriage.

Sponsors stayed away from Tiger Woods and he lived with a tag as a great golfing talent that never made it. Now he is seen as a role model in the story of triumph against adversity. Woods US Masters win is now repeated as a story of why one must never give up and the fruits of labour will finally pay off.

Sadly, it only applies in the world of sports. In the sporting world, there are clear rules and everybody play within the rules or they are disqualified. Sports world is based on meritocracy. If you good and talented, you would be found - some way or other - even if you live in Borneo.

Sarawak has produced amongst Malaysia’s best sprinter and diver in Watson Nyambek and Pandelela Rinong who proved their worth based on merit.

Running a government to please people with different demands is not so easy. Meritocracy is only a slogan. It reality, it is hard to implement.

For instance, the government’s bail-out of Felda and Tabung Haji are seen as further straining the country’s balance sheet.

The fear that the of Budget 2019 objective of keeping fiscal deficit at 3.4% cannot be achieved considering that the government has to fork out RM6bil to rescue Felda.

However, what investors fail to realise is that the government cannot afford not to bail out the likes of Felda and Tabung Haji. It cannot operate completely on meritocracy and go by the book strictly because there are political considerations to weigh on.

Felda needs to be rescued because of the massive mismanagement of funds. It involves the lives of 120,000 settlers and many more, if their families are taken into account. The Felda settlers are important voter bank and determine 52 parliament seats.

Most of them are Malays who form the bulk of the voting population of the country as a whole.

Whether we like or not, issues that Felda and Tabung Haji face has to be resolved if there is to be any political stability.

The only consolation is that those who are responsible for the mismanagement of Felda, Tabung Haji, 1Malaysia Development Bhd (1MDB) would eventually pay a price.

In communist China, these people would have faced the firing squad.

In Malaysia, it takes time to penalise those responsible under the law. Pakatan Harapan’s messaging to investors is that it provides accountability, transparency and discipline in running the government. It revealed the total debts and a bigger budget deficit for 2019 and left it to investors to decide if they are prepared to put money in the country.

That it does not tolerate corruption is a message that is being drummed countless times.

Is there is a premium in being transparent, accountable and standing firm against corruption? Yes there is. But as a fund manager says, it does not tell investors where to put their money.

It does not tell investors if there is going to be a continuity to the government’s policies and who the next Prime Minister is going to be after Tun Dr Mahathir Mohamad. The fund manager says that Malaysia needs to tell another story, apart from governance and transparency.

Towards this end, a good line of messaging would be on addressing the political transition after Dr Mahathir.

The fund manager is right in his argument because long term capital needs political stability and leadership certainty.

Dr Mahathir, who is named as among the most powerful persons by Time Magazine, probably knows best why he is delaying in setting a firm time table to hand over power to the only person who has been named so far, which is Datuk Seri Anwar Ibrahim.

Probably because the minute Dr Mahathir announces the time-table to handover, he would be a lame duck Prime Minister, a role the 93-year veteran politician would not relish.

Apart from politics, the other matter bogging investors is the slowing Malaysian economy.

The concern is that the economic growth of 4.5% would not be met and that Bank Negara would be forced to bring down the interest rates.

When interest rates are down because of a slowing economy, it dampens sentiments on the ringgit and puts yields of bonds under pressure.

The prospects of a lower yield and weakening currency are just the catalysts needed for bond investors to take some money off the table.

The unfavourable rating by little known Russel Fund Index earlier this week did not help matters. The end result is that the government bonds are under pressure and so is the ringgit.

The government should keep up with doing the things it can best do, which are enhancing transparency, governance and being more careful in handling public funds. Investors will view with scepticism until they see hard numbers on the economy and consistency in growth.

The Malaysian stock market was among the world’s best in 1993 on the back of a roaring economy that started its growth path some four years earlier.

The economy over-heated, the government got carried away with spending and we paid a heavy price by the ringgit and stock market crashing. It all came down with a thud in 1997.

The Pakatan Harapan government wants to see Malaysia be a “tiger economy” once again.

But it would not be easy. The road ahead is treacherous with lots of obstacles – balancing the demands of the political and social agenda.

We cannot do it the Tiger Woods way because there is no meritocracy when it comes to governing a country. But we will get there eventually as long as we stay the course.

The Alternative view by M Shanmugam

Related posts:

 

FELDA WHITE PAPER reveals SHADY DEALS

 

More big corrupt officials nabbed: Datuk among those busted for graft & mismanagement

 

PAS left in a state of confusion, the only way is to lie

  

 

 

How Tabung Haji became an unregulated ‘bank’

Obscene HRDF, skill training for corruption !

 

Govt-linked companies (GLCs) shake-up as they sing a different tune