by Dr. Chen Man Hin
DAP life advisor
2nd March 2013
Look at the FDIs inflow to Malaysia compared to other Asean countries for 2012.
According to UNCTAD Malaysia FDI for first half of 2012 was US4 billion, and for the full year would be around US 8 billion.
Whereas it was Singapore US 27.4 billion, Indonesia 8.2 billion, Thailand 5.6 billion.
World bank figures for PER CAPITA INCOME for 2011 are:
Malaysia US$ 9500 ( US$ 7440 in 2008)
Singapore 46241
Thailand 4972
HONG KONG 36012
South Korea 22424
But Malaysia’s PCI of US9500 is far way from the required high income level of US$ 16,000
A world authority on finance, ICAEW (ACCOUNTANCY AND FINANCE) has predicted that Malaysia per capita income is expected to increase by one third by 2020. one third of 9500 is about 3200. add it to 9500, and Malaysia PCI would be US$ 12700.
But US$ 16000 is the minimum level for high income status. so by the analyst estimate, Malaysia would not reach high income status by year 2020
This is a brutal fact that Najib must admit. With his present policies of NEM cum NEP, the country will stay in the low income economy.
Najib wants to push his NEM, but is blocked by the UMNO cronies who want to keep NEP for their own selfish aims, to maintain the 30% quota in all sections of the economy – foreign investments, industries, construction and housing. The NEP make UMNO cronies very rich, but the people suffer because the economy is slow and unproductive.
This is the time for change. Time for the people to have a government that is clean and competitive. With free market enterprise, Malaysia will have the opportunity to join the Four Tigers, Singapore, Hong Kong, S Korea and Taiwan.