Pakatan Rakyat’s policy statement on New Economic Model (Part 1)

PART I: INTRODUCTION

The question of what direction to steer the Malaysan economy to lift it from its prolonged state of lethargy and decay is one that should command the immediate attention of our government. The decisions that are taken today will have serioues ramifications for the livelihood of future generations.

An all encompassing economic framework designed to dramatically shift the trajectory of our economy should have been given the utmost priority at all level of public and government discourses.

It is therefore deeply troubling that the commendable report prepared by the National Economic Advisory Council (NEAC) was from its onset sullied with partisanship and politicking as the Dewan Rakyat was never consulted during its formulation nor was its content ever presented and deliberated upon even after its launch.

In fact, Tan Sri Nor Mohamed Yakcob, Minister in the Prime Minister’s Department went on record in Parliament on 1 April 2010 to clarify that the New Economic Model as presented in the NEAC Report is not a government document. According to him, it is a proposal by NEAC that shall be considered by the government and it is only a part and parcel of the so-called consultative process being undertaken by the government.

Nevertheless Pakatan Rakyat has reviewed with great detail and vigour the New Economic Model for Malaysia (Part 1) prepared by NEAC; released in conjunction with the launching of New Economic Model (NEM) by Prime Minister on 30 March 2010.

Given the secretive manner in which the document was prepared without bipartisan input we express certain grave concerns.

Firstly, in the absence of a consultative process there are serious doubts expressed by policy makers, economists and business leaders that the government has the political will to implement necessary and painful economic reforms recommended in the NEAC report.

The Minister in charge of the NEM’s formulation’s open declaration that the NEM is not a government document and is only a “suggestion”, implies that the government, despite its bold statements, has not truly committed itself to the bold measures espoused in the NEM.

Given Barisan Nasional’s track record in receiving memoranda and suggestions from various parties to gain short-term support only to turn back on earlier promises when it has achieved its short term political objectives (the most colourful episode was Suqiu’s appeal prior to 10th General Election in 1999), it is imperative that the government clarify to the public its true commitment to economic reform such as those outlined in the NEAC’s Report.

Secondly; the doubts on the political willingness of Barisan Nasional to implement economic reforms will be amplified even further now that the government minister openly implied that the government has not even “owned up” to the content of the report.

Despite the aforementioned needed for a concerted and deliberate attempt to review and revise our national economic strategy, Pakatan Rakayat fears that the NEAC’s report and the launching of the NEM will amount to nothing more than a public relations stunt.

Pakatan Rakyat has consistently maintained our commitment to engage with all political parties on policy matters that are in the national interest. We will offer our feedback and guidance in debating the NEM, present our views to the public with the ultimate objective of ensuring the necessary economic reforms take place. This is crucial to the long term survival of our economy.