Rabu, Ogos 29, 2012

CHINESE BUSINESSES GIVE NAJIB THUMBS-DOWN

Chinese businesses give Najib thumbs-down

A survey conducted by the Chinese trade chambers also showed most are not happy with the minimum wage policy.

KUALA LUMPUR August 29, 2012: Chinese businesses have given Prime Minister Najib Tun Razak’s economic policies the thumbs-down, according to a survey conducted by the Associated Chinese Chambers of Commerce and Industry (ACCIM).

The report revealed that many of the community’s small and medium enterprises (SMEs) or industries believe they have not benefited from the prime minister’s economic initiatives despite the raft of reforms introduced since Najib took office in April 2009.

“This has led to many respondents not believing that Malaysia is on its way to being successful in moving its economy out of the middle-income trap,” said the survey.

Najib had made the promise to drive Malaysia into a high-income economy by 2020 as one of his policies under the grand Economic Transformation Programme (ETP).

The blueprint, which promises to strengthen and make the local market its primary drive, is seen as a key election push as Najib aims to score a stronger mandate at the upcoming national polls.

His administration has so far managed to weather the global economic turmoil with a strong back-to-back growth that surpassed expectations, giving him the boasting rights against heavy opposition criticism that he has done little to improve the ailing economy.

Negative performance

Heavy government spending under the ETP – to create a strong local market to help offset dipping exports – was said to be a major factor behind Malaysia’s steady growth.

The ACCIM survey, however, said 73% of its respondents are discouraged by the country’s economic outlook leading up to the 13th general election.

Much of the survey indicated negative performance, and slowing demands and employment among the Chinese businesses. Close to half of the 374 respondents polled blamed it on weak government policies.

“It should also be noted that despite efforts to transform the Malaysian economy, the effects and benefits appear to have not filtered down more significantly to the SMEs,” said the survey.

More than half of the respondents said they are pessimistic with this year and 2013′s economic outlook although they are cautiously optimistic for 2014.

The ACCIM also urged the Najib administration to reconsider its minimum wage policy, with close to 60% of the respondents saying it would affect their businesses.

Gloomy trajectory

“The government is advised to undertake further research and dialogues with industry players,” the report said.

It also urged Putrajaya to consider implementing different floor-wage structures for different sectors and regions.

But Najib, the Barisan Nasional chairman, is unlikely to reverse the plan. The minimum wage policy is seen as a crucial move to keep Malaysia’s low-income earners on his side. They form a significant chunk of the voter pool.

The negative response by Chinese businesses that comes amid plunging support from the community, Malaysia’s second biggest electorate, may force Najib to consider holding polls soon.

Influential former prime minister Dr Mahathir Mohamad had echoed analysts and economists’ calls for Najib to hold elections while the economy is still strong.

Pundits are betting on a gloomy trajectory for the remaining quarters and 2013 despite the strong 5% second-quarter growth this year.

Syed Jaymal Zahiid

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MEDIA CONFERENCE ON SURVEY REPORT ON ECONOMIC SITUATION OF MALAYSIA FOR THE 1ST HALF OF YEAR 2012

22 ulasan:

  1. Although the minimum wage policy is good news for the employees, but it can be a burden to some employers, especially those who are operating a small business and making small profits.

    BalasPadam
    Balasan
    1. mgkin ia perlu dikaji semula.

      Padam
  2. We should try out the minimum wage policy early January next year when it was officially implemented and see how well the local industries adapt to it.

    BalasPadam
    Balasan
    1. Mungkin ambil masa bagi pihak majikan untuk mengikuti polisi baru ni.

      Padam
  3. "A survey conducted by the Chinese trade chambers also showed most are not happy with the minimum wage policy."

    adakah maksud mereka polisi gaji minimum ini perlu dinaikkan lagi atau dihapuskan terus??? kalau mahu dinaikkan, kerajaan Najib lagi suka.. kalau dimansuhkan??? faham2 la..

    BalasPadam
  4. The State Government will continue to formulate policies and procedures that support a business friendly environment, said Chief Minister Datuk Seri Musa Haji Aman.

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  5. Being the second largest state in Malaysia, he said there are vast opportunities in Sabah especially in agriculture, tourism and manufacturing as well as oil and gas.

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  6. “These sectors are mapped out under several initiatives like the Sabah Development Corridor (SDC) and the federal government-led Economic Transformation Programme (ETP),” he said during a meeting with Wu Bangguo, a member of the Standing Committee of the Political Bureau of the Central Committee of the Communist Party of China .

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  7. Wu is also chairman of the Standing Committee of the National People’s Congress (NPC).

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  8. Musa who is also Finance Minister said under SDC, Sabah was promoting economic growth based on the strengths of the different regions in the state and with focus on proper management of natural resources and environmental sustainability.

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  9. Sabah, he added, was in the process of transforming its economy from one that was purely resource-based to one that was more diversified and driven by knowledge, innovation and productivity.

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  10. The Chief Minister said in manufacturing, Sabah’s focus was to leverage on agriculture, biomass and the oil and gas industry.

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  11. He also said Sabah was the largest producer of crude palm oil in Malaysia and that the Palm Oil Industrial Cluster in the east coast was one avenue for the state to venture into downstream processing of palm oil products.

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  12. “We are also promoting the development of petrochemical and gas-based industries through SOGT (Sabah Oil and Gas Terminal) and SAMUR (Sabah Ammonia Urea Plant) in the west coast.

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  13. Musa also told the senior Chinese leader that early this year Sabah received interest from two prominent U.S.-based firms.

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  14. Dole Food – the world’s largest producer and marketer of fresh fruits and vegetables – had expressed interest to invest more than RM1 billion in Sabah.

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  15. The Chief Minister added that the hospitality and tourism industry was one of the primary income-generating sectors.

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  16. Sabah, he said has proven to be a popular destination for the Chinese “and I see increased cooperation in this sector”.

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  17. Musa also informed the Chinese leader that it was recently announced that Sabah was the most successful state in attracting private investment in the country.

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  18. For the first quarter of this year, Sabah managed to attract some RM10 billion in investment, way ahead of other states – and this is because the Sabah State Government is stable, business friendly and prudent.

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  19. Meanwhile, Musa said Sabah had anticipated closer ties and cooperation with China as the business relationship had grown stronger.

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  20. Later at a press conference, Musa expressed his appreciation to Wu for visiting Sabah. “There are many opportunities which we can explore together in Sabah,” he said.Musa also said Wu felt that Sabah has big potential in the resources and tourism sectors and that many more visitors would come to Malaysia including Sabah.

    And according to him, the visit by Wu was very meaningful because he was a very high-ranking leader. “We welcome him and we hope more leaders from China will visit Sabah.”

    Also present were Deputy Chief Minister, Datuk Dr Yee Moh Chai, Minister of Industrial Development, Datuk Raymond Tan Shu Kiah, Minister of Tourism, Culture and Environment, Datuk Masidi Manjun and State Secretary, Tan Sri Sukarti Wakiman.

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