It is worrying that amidst all these political shenanigans, the world financial crisis have been pushed to the background and it is good that this letter in Malaysiakini brought it up. The impending global recession was ignored and from the looks of it, many Malaysian politicians are pretending that it is not happening and that Malaysia will be practically untouched by it.
Er, yeah. Sure. US is suffering the financial crisis and going into recession while Malaysia will weather it all. Talk about delusional idiots. Seems like they are just too busy quibbling over their own positions in their political parties than tackling this very real problem that will affect every single Malaysian except those politicos with millions stashed away somewhere.
Just look at how delusional some people are or is it just plain stupidity?
Meanwhile, Abdullah said Malaysia could withstand the impact of the financial turmoil sweeping across the US, Europe and already reaching parts of Asia, including Singapore - which has already declared a state of recession.
Abdullah also pledged to keep the ringgit on its current managed float regime, adding that the country could ward off economic contagion with its political stability and strong economic fundamentals.
- Malaysiakini
So, the financial crisis is affecting US, Europe and even Singapore but Malaysia will not be affected at all? Who the heck is he kidding? What, he thinks we are all three-year-old kids? He thinks we don’t have brains to think, eyes to see and ears to hear?
What strong economic fundamentals is he talking about? As it is the inflation rate of this country is increasing and costs of living are skyrocketing. The income of the people are not getting any higher and it is just a matter of time before smaller companies suffer and start to close down. This means retrenchment and unemployment.
And what is the government doing about it?
Nothing. Zilch. Nada. They are too busy squabbling over unimportant things like party elections and arresting people under the ISA and Sedition Act. So, how will the world financial crisis affect us? According to JT:
How will this affect us? Some say not significantly, since our exports to US is only 16% of total exports. Our reserves exceed US$119 billion. Our banking system has only 2.5% non-performing loans and remains liquid. We have foreign direct investments, never mind if the net is negative.
That’s self-denial! We will be affected severely and that, too, in the next 9-10 months. Why? Deny as we will, we are an open economy and our exports to the US, Japan, China and Europe will trend downwards – why do they need our products in a recession?
Our reserves will fall with trade deficits, capital outflows, and the ever persistent negative services account. Banks will ‘slow down’ credits, businesses will face lower turnover, and the job market becomes tighter.
- Malaysiakini
See? Need I say more? So, why are they hoodwinking us or are they really that delusional or daft? For once, Anwar Ibrahim has seen reason and stopped talking about taking over the government which could further shake the economy. For all we know, he is probably planning something in the sly but is keeping mum and will spring a surprise on us all when the time is right.
Pressed on the question of whether he would table a no-confidence motion against Abdullah, Anwar answered: “For now, our focus is on the economy.”
- Malaysiakini
Rightly so. The world financial crisis is very, very real and we will feel the effects one way or another, so, brace yourselves now and don’t hope too much on any intelligent contingency plan from the current government. When you don’t have anyone with intelligence there, you should not expect any intelligent decisions from them.
Although the shares are up yesterday (according to this article in Malaysiakini), don’t expect that it will continue nor even think that it will reflect the market conditions of days to come. Brace yourselves.
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