Forget about Mahathir
Efforts to mend fences with former premier Tun Dr Mahathir Mohamad would be a waste of time, said Wanita Umno chief Datuk Seri Rafidah Aziz.
It is for the Prime Minister to decide; but if you ask me, I would say, forget it because he (Dr Mahathir) not only attacked the party and the Government but also talked about the Prime Minister needing to be replaced, and that cannot be tolerated. He has crossed the line,¡¨ she said.
Rafidah also said that she would not forgive her former mentor for the accusations he had made against her over the Approved Permits issue.
I will never forgive him for accusing me of all kinds of things. I cannot take it any more, I have reached boiling point,¡¨ she said.
In Islam, fitnah (slander) is worse than murder. It¡¦s better to murder me. Then, I would be dead and gone. Instead, what he says comes out in every media all over the world.
I do not accept his accusations against me and I don¡¦t know where he gets his information. He has been misguided.¡¨
The International Trade and Industry Minister said Umno should forget about trying to mend fences with Dr Mahathir or even listening to his criticisms.
Here's proof that Malaysia's political world has turned upside down, a half past six goverment.: Malaysian opposition leader Anwar Ibrahim and former premier Mahathir Mohamad are in agreement on the state of the economy.
It's the kind of news that has old Asia hands yelling: ``No way!'' Yet Anwar, who in 1998 was imprisoned for almost six years on charges he claims were trumped up by Mahathir to destroy his political career, is indeed reading from the same page as his one-time mentor.
The Anwar-Mahathir affair was one of the most bizarre episodes of Asia's 1997-1998 financial crisis. It made headlines, captivated investors and led then-U.S. President Bill Clinton to refuse to attend a global summit in Malaysia.
Now, both agree that Mahathir's handpicked successor, Abdullah Ahmad Badawi, has achieved nothing since taking over the country in 2003. And both are speaking out, early and often.
Caught in the crossfire as barbs fly around Kuala Lumpur, investors are wondering how much attention policy makers are paying to boosting growth and attracting more foreign investment.
Sadly, politics getting in the way of financial trends is becoming all too familiar in Malaysia and Asia.
``Things have gotten more complicated in Asia,'' says Claudia Zeisberger, program director of the Asia Pacific Institute of Finance at Insead in Singapore. ``It used to be that you could just follow economic statistics. Now you almost have to be a political insider to know where to invest.''
Meanwhile,political and intellectual circles here are abuzz with talk of the detention of one of their own in an investigation into the death of a Mongolian woman.
Abdul Razak Baginda, who is in his 40s, is a close associate of Malaysian Deputy Prime Minister Najib Tun Razak.
He set up the Malaysian Strategic Research Centre (MSRC) in 1993, a private think tank specialising in defence and strategic issues, when Datuk Seri Najib was first appointed Malaysian Defence Minister.
He is said to be in the inner circle of Datuk Seri Najib's supporters and aides and has been frequently quoted in Malaysian and international publications.
'I am in shock. I do not know why he has been arrested and how he can be involved,' said a close associate of Mr Abdul Razak, who declined to be named.
Mr Abdul Razak is well-known not just in Malaysia but also among the region's many research organisations for his moderate views on politics and security issues.
The suggestion of involvement in any extramarital affairs is a shock to many who know the man.
Mr Abdul Razak is married with children, and is known to be obsessed with his work in the MSRC.
He is also a regular on the lecture and seminar circuit and a talk show host on national television. His qualification as a stellar analyst is backed up by his qualifications.
He was previously the Head of Strategic Studies and International Relations at the Armed Forces Defence College here.
He is a graduate of King's College London and is a member of the World Economic Forum's (Davos) Global Leaders for Tomorrow as well as the London-based International Institute for Strategic Studies.
Confirmed - Bumis own 36.64% of listed companies
( The Sun )
Bumiputra equity ownership of the 912 companies listed on the main and second boards of Bursa Saham Malaysia (BSM) stood at 36.64% and valued at RM78.4 billion as at Dec 31 last year.
On the other hand, Malay ownership of all 717,935 companies registered with the Companies Commission of Malaysia (CCM) stood at 24% as at end last year.
Deputy Finance Minister Datuk Dr Awang Adek Husin revealed this in the Dewan Rakyat today in reply to a question from Gua Musang MP Tengku Razaleigh Hamzah.
Of the listed companies on BSM, non-bumiputras held 46.91% valued at RM100.4 billion, while 16.45% worth RM35.2 billion belonged to foreigners.
The shareholding classification and breakdown were done by BSM based on the annual reports of companies. A company with at least 50.1% bumiputra ownership is deemed to be a bumiputra company.
Giving further breakdown on the ownership of listed companies, he said 539 companies had Malay equity ownership of 30% or less, 187 companies had equity ownership of between 30% and 50%, and another 186 had equity ownership of 50% or more.
He said BSM had 1,021 listed companies - of which 646 are on the Main Board, 268 on the Second Board and 107 companies on the Mesdaq - with total value of RM219.4 billion as at end last year.
Awang Adek, however, noted that the 36.64% bumiputra equity ownership was only for companies listed on the main and second boards of Malaysia whereas the New Economic Policy (NEP) target of 30% is measured from a far bigger pool of companies, listed and privately held.
As at Dec 31 last year, 172,568 companies or 24% out of 717,935 registered with the CCM were controlled by Malays.
To a supplementary question from Datuk Wan Junaidi Tuanku Jaafar (BN-Santubong) on the calculation of the equity ownership, Awang Adek said the stand of the government was that the methodology used from the early days until now was consistent by taking into account the overall economic figures.
"The companies taken into account by the government in calculating the equity ownership is the 717,935 registered companies," he said.
Awang Adek said that if they were to consider only the listed companies then the number of companies would only be aroundo 1,000, so it is only right to look at the 717,935 companies registered with the CCM.
He defended the government's methodology in calculating the achievement of Bumiputras in the corporate sector.
"The methodology in any research undertaken is based on the belief and understanding of the said researcher," he said.
"However, the methodology used by us (the governement) is more all encompassing and fairer in giving an overall picture to reflect our country's economy."
The Government's Methodology
The methodology used by the government to calculate the bumiputra corporate equity ownership takes into account several main economic indicators.
In his winding-up speech at the committee stage of Budget 2007 in Parliament today, Deputy Minister in the Prime Minister's Department Datuk Abdul Raman Suliman said the calculation includes:
* Last submitted annual statement of the companies registered with Companies Commission of Malaysia (CCM);
* Equity ownership from public listed companies;
* Bumiputra-interest institutions such as Tabung Haji Board, Armed-forces Fund Board and Cooperative Development Department;
* Equity ownership by related fund agencies such as Permodalan Nasional Bhd (PNB), Majlis Amanah Saham Rakyat and State Economic Development Bodies;
* Trust fund shares from the securities commission and trust fund management companies such as PNB; and
* Economic Planning Unit's (EPU) studies on ownership interest through nominee companies.
He said information on the shares in CCM's registered companies is the main information in estimating equity ownership according to ethnic groups.
"Information used by EPU from company annual reports, among others are type of companies, companies' activities, race, citizenship, number of shares held by the shareholders.
"The companies' statement also contains lists of owners and number of shares owned by non-individuals such as Sdn Bhd, public-listed companies, government agencies and so on."
The methodology of the bumiputra corporate equity has caused a wide public debate when the media highlighted a finding by the Asian Strategy and Leadership Institute (Asli) that bumiputra corporate equity had achieved about 45%.
The official figure of the bumiputra corporate equity ownership under the Ninth Malaysia Plan (9MP) is 18.9%.
Abdul Raman said par value was used in the calculation because it could give a general view on the initial paid-up capital for the whole corporate sector.
"Market values can be used but only for listed companies. For unlisted companies, market values cannot be used because they are always changing and influenced by factors that do not reflect the true value of the shares and companies' performance, such as window dressing.
However, he said to improve the methodology, the government will always review it from time to time.
He also noted that Malaysian companies abroad were not included in the calculation.
Quizzed by opposition MPs, Abdul Raman said based on the composition of bumiputra in the country, the objective of the bumiputra equity ownership should be 60%.
Thus, he said the 30% bumiputra equity ownership objective set under the New Economic Policy (NEP) should not be questioned.
"The 30% is the minimum objective. If we follow the racial composition, it has to be 60%. If we want to look at this emotionally, then we (bumiputra) are also not satisfied," he said.
Asked by Chong Chieng Jen (DAP-Bandar Kuching) whether the deputy minister has meant the government will continue with the NEP even if it has achieved 30%, he said: "Under the 9MP and Vision 2020, our achievement is to be fair to all races. We have to make sure that the policy earlier has to be realised."
Met later in Parliament lobby, Abdul Raman said the details of the methodology will be discussed by the Cabinet today.
Vision 2020 - Malaysia As A Fully Developed Country - One Definition
o By the year 2020, Malaysia can be a united nation, with a confident Malaysian society, infused by strong moral and ethical values, living in a society that is democratic, liberal and tolerant, caring, economically just and equitable, progressive and prosperous, and in full possession of an economy that is competitive, dynamic, robust and resilient.
o There can be no fully developed Malaysia until we have finally overcome the nine central strategic challenges that have confronted us from the moment of our birth as an independent nation.
o The first of these is the challenges of establishing a united Malaysian nation with a sense of common and shared destiny. This must be a nation at peace with itself, territorially and ethnically integrated, living in harmony and full and fair partnership, made up of one 'Bangsa Malaysia' with political loyalty and dedication to the nation.
o The second is the challenge of creating a psychologically liberated, secure, and developed Malaysian Society with faith and confidence in itself, justifiably proud of what it is, of what it has accomplished, robust enough to face all manner of adversity. This Malaysian Society must be distinguished by the pursuit of excellence, fully aware of all its potentials, psychologically subservient to none, and respected by the peoples of other nations.
o The third challenge we have always faced is that of fostering and developing a mature democratic society, practising a form of mature consensual, community-oriented Malaysian democracy that can be a model for many developing countries.
o The fourth is the challenge of establishing a fully moral and ethical society, whose citizens are strong in religious and spiritual values and imbued with the highest of ethical standards.
o The fifth challenge that we have always faced is the challenge of establishing a matured, liberal and tolerant society in which Malaysians of all colours and creeds are free to practise and profess their customs,cultures and religious beliefs and yet feeling that they belong to one nation.
o The sixth is the challenge of establishing a scientific and progressive society, a society that is innovative and forward-looking, one that is not only a consumer of technology but also a contributor to the scientific and technological civilisation of the future.
o The seventh challenge is the challenge of establishing a fully caring society and a caring culture, a social system in which society will come before self, in which the welfare of the people will revolve not around the state or the individual but around a strong and resilient family system.
o The eighth is the challenge of ensuring an economically just society. This is a society in which there is a fair and equitable distribution of the wealth of the nation, in which there is full partnership in economic progress. Such a society cannot be in place so long as there is the identification of race with economic function, and the identification of economic backwardness with race.
o The ninth challenge is the challenge of establishing a prosperous society, with an economy that is fully competitive, dynamic, robust and resilient.
o We have already come a long way towards the fulfilment of these objectives. The nine central objectives listed need not be our order of priorities over the next three decades. Most obviously, the priorities of any moment in time must meet the specific circumstances of that moment in time.
o But it would be surprising if the first strategic challenge which I have mentioned - the establishment of a united Malaysian nation - is not likely to be the most fundamental, the most basic.
o Since much of what I will say this morning will concentrate on economic development, let me stress yet again that the comprehensive development towards the developed society that we want -however each of us may wish to define it -cannot mean material and economic advancement only. Far from it. Economic development must not become the be-all and the end-all of our national endeavours.
o Since this Council must concentrate on the issues of economic development and economic social justice, which for this nation must go hand in hand for the foreseeable future, let me expand on the perception of the central strategic challenges with regard to these two vital objectives.
o At this point it is well to define in greater detail the objective of establishing an economically just society.
o Of the two prongs of the NEP no one is against the eradication of absolute poverty -regardless of race, and irrespective of geographical location. All Malaysians, whether they live in the rural or the urban areas, whether they are in the south, north, east or west, must be moved above the line of absolute poverty.
o This nation must be able to provide enough food on the table so that not a solitary Malaysian is subjected to the travesty of gross under-nourishment. We must provide enough by way of essential shelter, access to health facilities, and all the basic essentials. A developed Malaysia must have a wide and vigorous middle class and must provide full opportunities for those in the bottom third to climb their way out of the pit of relative poverty.
o The second prong, that of removing the identification of race with major economic function is also acceptable except that somehow it is thought possible to achieve this without any shuffling of position. If we want to build an equitable society than we must accept some affirmative action. This will mean that in all the major and important sectors of employment, there should be a good mix of the ethnic groups that make up the Malaysian nation. By legitimate means we must ensure a fair balance with regard to the professions and all the major categories of employment. Certainly we must be as interested in quality and merit. But we must ensure the healthy development of a viable and robust Bumiputera commercial and industrial community.
o A developed Malaysia should not have a society in which economic backwardness is identified with race. This does not imply individual income equality, a situation in which all Malaysians will have the same income. This is an impossibility because by sheer dint of our own individual effort, our own individual upbringing and our individual preferences, we will all have different economic worth, and will be financially rewarded differently. An equality of individual income as propounded by socialists and communists is not only not possible, it is not desirable and is a formula for disaster.
o But I do believe that the narrowing of the ethnic income gap, through the legitimate provision of opportunities, through a closer parity of social services and infrastructure, through the development of the appropriate economic cultures and through full human resource development, is both necessary and desirable. We must aspire by the year 2020 to reach a stage where no-one can say that a particular ethnic group is inherently economically backward and another is economically inherently advanced. Such a situation is what we must work for efficiently, effectively, with fairness and with dedication.
o "A full partnership in economic progress" cannot mean full partnership in poverty. It must mean a fair balance with regard to the participation and contribution of all our ethnic groups - including the Bumiputeras of Sabah and Sarawak - in the high-growth, modern sectors of our economy. It must mean a fair distribution with regard to the control , management and ownership of the modern economy.
o In order to achieve this economically just society, we must escalate dramatically our programmes for national human resource development. There is a need to ensure the creation of an economically resilient and fully competitive Bumiputera community so as to be at par with the NonBumiputera community. There is need for a mental revolution and a cultural transformation. Much of the work of pulling ourselves up by our boot-straps must be done ourselves. In working for the correction of the economic imbalances, there has to be the fullest emphasis on making the needed advances at speed and with the most productive results - at the lowest possible economic and societal cost.
o With regard to the establishment of a prosperous society, we can set many aspirational goals. I believe that we should set the realistic (as opposed to aspirational) target of almost doubling our real gross domestic product every t en years between 1990 and 2020 AD. If we do this, our GDP should be about eight times larger by the year 2020 than it was in 1990. Our GDP in 1990 was 115 billion Ringgit. Our GDP in 2020 should therefore be about 920 billion Ringgit in real (1990 Ringgit) terms.
o This rapid growth will require that we grow by an average of about 7 per cent (in real terms) annually over the next 30 years. Admittedly this is on optimistic projection but we should set our sights high if we are to motivate ourselves into striving hard. We must guard against 'growth fixation', the danger of pushing for growth figures oblivious to the needed commitment to ensure stability, to keep inflation low, to guarantee sustainability, to develop our quality of life and standard of living, and the achievement of our other social objectives. It will be a difficult task, with many peaks and low points. But I believe that this can be done.
o In the 1960s, we grew by an annual average of 5.1 per cent; in the 1970s, the first decade of the NEP, Malaysia grew by an average of 7.8 per cent; in the 1980s, because of the recession years, we grew by an annual average of 5.9 per cent.
o If we take the last thirty years, our GDP rose annually in real terms by an average of 6.3 per cent. If we take the last twenty years, we grew by an annual average of 6.9 per cent. What is needed is an additional 0.1 per cent growth. Surely if we all pull together God willing this 0.1% can be achieved.
o If we do succeed, and assuming roughly a 2.5 per cent annual rate of population growth, by the year 2020, Malaysians will be four times richer (in real terms) than they were in 1990. That is the measure of the prosperous society we wish and hopefully we can achieve.
o The second leg of our economic objective should be to secure the establishment of a competitive economy. Such an economy must be able to sustain itself over the longer term, must be dynamic, robust and resilient. It must mean, among other things: A diversified and balanced economy with a mature and widely based industrial sector, a modern and mature agriculture sector and an efficient and productive and an equally mature services sector; an economy that is quick on its feet, able to quickly adapt to changing patterns of supply, demand and competition; an economy that is technologically proficient, fully able to adapt, innovate and invent, that is increasingly technology intensive, moving in the direction of higher and higher levels of technology; an economy that has strong and cohesive industrial linkages throughout the system; an economy driven by brain-power, skills and diligence in possession of a wealth of information, with the knowledge of what to do and how to do it; an economy with high and escalating productivity with regard to every factor of production; an entrepreneurial economy that is self - reliant, outward - looking and enterprising; an economy sustained by an exemplary work ethic, quality consciousness and the quest for excellence; an economy characterised by low inflation and a low cost of living; an economy that is subjected to the full discipline and rigour of market forces.
o Most of us in this present Council will not be there on the morning of January 1, 2020 Not many, I think. The great bulk of the work that must be done to ensure a fully developed country called Malaysia a generation from now will obviously be done by the leaders who follow us, by our children and grand-children. But we should make sure that we have done our duty in guiding them with regard to what we should work to become. And let us lay the secure foundations that they must build upon.
( Source : Office of the PM Malaysia )
Malaysia Abdullah Ahmad Badawi bumiputra New Economic Policy (NEP) Bumi Equity vision2020
It is for the Prime Minister to decide; but if you ask me, I would say, forget it because he (Dr Mahathir) not only attacked the party and the Government but also talked about the Prime Minister needing to be replaced, and that cannot be tolerated. He has crossed the line,¡¨ she said.
Rafidah also said that she would not forgive her former mentor for the accusations he had made against her over the Approved Permits issue.
I will never forgive him for accusing me of all kinds of things. I cannot take it any more, I have reached boiling point,¡¨ she said.
In Islam, fitnah (slander) is worse than murder. It¡¦s better to murder me. Then, I would be dead and gone. Instead, what he says comes out in every media all over the world.
I do not accept his accusations against me and I don¡¦t know where he gets his information. He has been misguided.¡¨
The International Trade and Industry Minister said Umno should forget about trying to mend fences with Dr Mahathir or even listening to his criticisms.
Here's proof that Malaysia's political world has turned upside down, a half past six goverment.: Malaysian opposition leader Anwar Ibrahim and former premier Mahathir Mohamad are in agreement on the state of the economy.
It's the kind of news that has old Asia hands yelling: ``No way!'' Yet Anwar, who in 1998 was imprisoned for almost six years on charges he claims were trumped up by Mahathir to destroy his political career, is indeed reading from the same page as his one-time mentor.
The Anwar-Mahathir affair was one of the most bizarre episodes of Asia's 1997-1998 financial crisis. It made headlines, captivated investors and led then-U.S. President Bill Clinton to refuse to attend a global summit in Malaysia.
Now, both agree that Mahathir's handpicked successor, Abdullah Ahmad Badawi, has achieved nothing since taking over the country in 2003. And both are speaking out, early and often.
Caught in the crossfire as barbs fly around Kuala Lumpur, investors are wondering how much attention policy makers are paying to boosting growth and attracting more foreign investment.
Sadly, politics getting in the way of financial trends is becoming all too familiar in Malaysia and Asia.
``Things have gotten more complicated in Asia,'' says Claudia Zeisberger, program director of the Asia Pacific Institute of Finance at Insead in Singapore. ``It used to be that you could just follow economic statistics. Now you almost have to be a political insider to know where to invest.''
Meanwhile,political and intellectual circles here are abuzz with talk of the detention of one of their own in an investigation into the death of a Mongolian woman.
Abdul Razak Baginda, who is in his 40s, is a close associate of Malaysian Deputy Prime Minister Najib Tun Razak.
He set up the Malaysian Strategic Research Centre (MSRC) in 1993, a private think tank specialising in defence and strategic issues, when Datuk Seri Najib was first appointed Malaysian Defence Minister.
He is said to be in the inner circle of Datuk Seri Najib's supporters and aides and has been frequently quoted in Malaysian and international publications.
'I am in shock. I do not know why he has been arrested and how he can be involved,' said a close associate of Mr Abdul Razak, who declined to be named.
Mr Abdul Razak is well-known not just in Malaysia but also among the region's many research organisations for his moderate views on politics and security issues.
The suggestion of involvement in any extramarital affairs is a shock to many who know the man.
Mr Abdul Razak is married with children, and is known to be obsessed with his work in the MSRC.
He is also a regular on the lecture and seminar circuit and a talk show host on national television. His qualification as a stellar analyst is backed up by his qualifications.
He was previously the Head of Strategic Studies and International Relations at the Armed Forces Defence College here.
He is a graduate of King's College London and is a member of the World Economic Forum's (Davos) Global Leaders for Tomorrow as well as the London-based International Institute for Strategic Studies.
Confirmed - Bumis own 36.64% of listed companies
( The Sun )
Bumiputra equity ownership of the 912 companies listed on the main and second boards of Bursa Saham Malaysia (BSM) stood at 36.64% and valued at RM78.4 billion as at Dec 31 last year.
On the other hand, Malay ownership of all 717,935 companies registered with the Companies Commission of Malaysia (CCM) stood at 24% as at end last year.
Deputy Finance Minister Datuk Dr Awang Adek Husin revealed this in the Dewan Rakyat today in reply to a question from Gua Musang MP Tengku Razaleigh Hamzah.
Of the listed companies on BSM, non-bumiputras held 46.91% valued at RM100.4 billion, while 16.45% worth RM35.2 billion belonged to foreigners.
The shareholding classification and breakdown were done by BSM based on the annual reports of companies. A company with at least 50.1% bumiputra ownership is deemed to be a bumiputra company.
Giving further breakdown on the ownership of listed companies, he said 539 companies had Malay equity ownership of 30% or less, 187 companies had equity ownership of between 30% and 50%, and another 186 had equity ownership of 50% or more.
He said BSM had 1,021 listed companies - of which 646 are on the Main Board, 268 on the Second Board and 107 companies on the Mesdaq - with total value of RM219.4 billion as at end last year.
Awang Adek, however, noted that the 36.64% bumiputra equity ownership was only for companies listed on the main and second boards of Malaysia whereas the New Economic Policy (NEP) target of 30% is measured from a far bigger pool of companies, listed and privately held.
As at Dec 31 last year, 172,568 companies or 24% out of 717,935 registered with the CCM were controlled by Malays.
To a supplementary question from Datuk Wan Junaidi Tuanku Jaafar (BN-Santubong) on the calculation of the equity ownership, Awang Adek said the stand of the government was that the methodology used from the early days until now was consistent by taking into account the overall economic figures.
"The companies taken into account by the government in calculating the equity ownership is the 717,935 registered companies," he said.
Awang Adek said that if they were to consider only the listed companies then the number of companies would only be aroundo 1,000, so it is only right to look at the 717,935 companies registered with the CCM.
He defended the government's methodology in calculating the achievement of Bumiputras in the corporate sector.
"The methodology in any research undertaken is based on the belief and understanding of the said researcher," he said.
"However, the methodology used by us (the governement) is more all encompassing and fairer in giving an overall picture to reflect our country's economy."
The Government's Methodology
The methodology used by the government to calculate the bumiputra corporate equity ownership takes into account several main economic indicators.
In his winding-up speech at the committee stage of Budget 2007 in Parliament today, Deputy Minister in the Prime Minister's Department Datuk Abdul Raman Suliman said the calculation includes:
* Last submitted annual statement of the companies registered with Companies Commission of Malaysia (CCM);
* Equity ownership from public listed companies;
* Bumiputra-interest institutions such as Tabung Haji Board, Armed-forces Fund Board and Cooperative Development Department;
* Equity ownership by related fund agencies such as Permodalan Nasional Bhd (PNB), Majlis Amanah Saham Rakyat and State Economic Development Bodies;
* Trust fund shares from the securities commission and trust fund management companies such as PNB; and
* Economic Planning Unit's (EPU) studies on ownership interest through nominee companies.
He said information on the shares in CCM's registered companies is the main information in estimating equity ownership according to ethnic groups.
"Information used by EPU from company annual reports, among others are type of companies, companies' activities, race, citizenship, number of shares held by the shareholders.
"The companies' statement also contains lists of owners and number of shares owned by non-individuals such as Sdn Bhd, public-listed companies, government agencies and so on."
The methodology of the bumiputra corporate equity has caused a wide public debate when the media highlighted a finding by the Asian Strategy and Leadership Institute (Asli) that bumiputra corporate equity had achieved about 45%.
The official figure of the bumiputra corporate equity ownership under the Ninth Malaysia Plan (9MP) is 18.9%.
Abdul Raman said par value was used in the calculation because it could give a general view on the initial paid-up capital for the whole corporate sector.
"Market values can be used but only for listed companies. For unlisted companies, market values cannot be used because they are always changing and influenced by factors that do not reflect the true value of the shares and companies' performance, such as window dressing.
However, he said to improve the methodology, the government will always review it from time to time.
He also noted that Malaysian companies abroad were not included in the calculation.
Quizzed by opposition MPs, Abdul Raman said based on the composition of bumiputra in the country, the objective of the bumiputra equity ownership should be 60%.
Thus, he said the 30% bumiputra equity ownership objective set under the New Economic Policy (NEP) should not be questioned.
"The 30% is the minimum objective. If we follow the racial composition, it has to be 60%. If we want to look at this emotionally, then we (bumiputra) are also not satisfied," he said.
Asked by Chong Chieng Jen (DAP-Bandar Kuching) whether the deputy minister has meant the government will continue with the NEP even if it has achieved 30%, he said: "Under the 9MP and Vision 2020, our achievement is to be fair to all races. We have to make sure that the policy earlier has to be realised."
Met later in Parliament lobby, Abdul Raman said the details of the methodology will be discussed by the Cabinet today.
Vision 2020 - Malaysia As A Fully Developed Country - One Definition
o By the year 2020, Malaysia can be a united nation, with a confident Malaysian society, infused by strong moral and ethical values, living in a society that is democratic, liberal and tolerant, caring, economically just and equitable, progressive and prosperous, and in full possession of an economy that is competitive, dynamic, robust and resilient.
o There can be no fully developed Malaysia until we have finally overcome the nine central strategic challenges that have confronted us from the moment of our birth as an independent nation.
o The first of these is the challenges of establishing a united Malaysian nation with a sense of common and shared destiny. This must be a nation at peace with itself, territorially and ethnically integrated, living in harmony and full and fair partnership, made up of one 'Bangsa Malaysia' with political loyalty and dedication to the nation.
o The second is the challenge of creating a psychologically liberated, secure, and developed Malaysian Society with faith and confidence in itself, justifiably proud of what it is, of what it has accomplished, robust enough to face all manner of adversity. This Malaysian Society must be distinguished by the pursuit of excellence, fully aware of all its potentials, psychologically subservient to none, and respected by the peoples of other nations.
o The third challenge we have always faced is that of fostering and developing a mature democratic society, practising a form of mature consensual, community-oriented Malaysian democracy that can be a model for many developing countries.
o The fourth is the challenge of establishing a fully moral and ethical society, whose citizens are strong in religious and spiritual values and imbued with the highest of ethical standards.
o The fifth challenge that we have always faced is the challenge of establishing a matured, liberal and tolerant society in which Malaysians of all colours and creeds are free to practise and profess their customs,cultures and religious beliefs and yet feeling that they belong to one nation.
o The sixth is the challenge of establishing a scientific and progressive society, a society that is innovative and forward-looking, one that is not only a consumer of technology but also a contributor to the scientific and technological civilisation of the future.
o The seventh challenge is the challenge of establishing a fully caring society and a caring culture, a social system in which society will come before self, in which the welfare of the people will revolve not around the state or the individual but around a strong and resilient family system.
o The eighth is the challenge of ensuring an economically just society. This is a society in which there is a fair and equitable distribution of the wealth of the nation, in which there is full partnership in economic progress. Such a society cannot be in place so long as there is the identification of race with economic function, and the identification of economic backwardness with race.
o The ninth challenge is the challenge of establishing a prosperous society, with an economy that is fully competitive, dynamic, robust and resilient.
o We have already come a long way towards the fulfilment of these objectives. The nine central objectives listed need not be our order of priorities over the next three decades. Most obviously, the priorities of any moment in time must meet the specific circumstances of that moment in time.
o But it would be surprising if the first strategic challenge which I have mentioned - the establishment of a united Malaysian nation - is not likely to be the most fundamental, the most basic.
o Since much of what I will say this morning will concentrate on economic development, let me stress yet again that the comprehensive development towards the developed society that we want -however each of us may wish to define it -cannot mean material and economic advancement only. Far from it. Economic development must not become the be-all and the end-all of our national endeavours.
o Since this Council must concentrate on the issues of economic development and economic social justice, which for this nation must go hand in hand for the foreseeable future, let me expand on the perception of the central strategic challenges with regard to these two vital objectives.
o At this point it is well to define in greater detail the objective of establishing an economically just society.
o Of the two prongs of the NEP no one is against the eradication of absolute poverty -regardless of race, and irrespective of geographical location. All Malaysians, whether they live in the rural or the urban areas, whether they are in the south, north, east or west, must be moved above the line of absolute poverty.
o This nation must be able to provide enough food on the table so that not a solitary Malaysian is subjected to the travesty of gross under-nourishment. We must provide enough by way of essential shelter, access to health facilities, and all the basic essentials. A developed Malaysia must have a wide and vigorous middle class and must provide full opportunities for those in the bottom third to climb their way out of the pit of relative poverty.
o The second prong, that of removing the identification of race with major economic function is also acceptable except that somehow it is thought possible to achieve this without any shuffling of position. If we want to build an equitable society than we must accept some affirmative action. This will mean that in all the major and important sectors of employment, there should be a good mix of the ethnic groups that make up the Malaysian nation. By legitimate means we must ensure a fair balance with regard to the professions and all the major categories of employment. Certainly we must be as interested in quality and merit. But we must ensure the healthy development of a viable and robust Bumiputera commercial and industrial community.
o A developed Malaysia should not have a society in which economic backwardness is identified with race. This does not imply individual income equality, a situation in which all Malaysians will have the same income. This is an impossibility because by sheer dint of our own individual effort, our own individual upbringing and our individual preferences, we will all have different economic worth, and will be financially rewarded differently. An equality of individual income as propounded by socialists and communists is not only not possible, it is not desirable and is a formula for disaster.
o But I do believe that the narrowing of the ethnic income gap, through the legitimate provision of opportunities, through a closer parity of social services and infrastructure, through the development of the appropriate economic cultures and through full human resource development, is both necessary and desirable. We must aspire by the year 2020 to reach a stage where no-one can say that a particular ethnic group is inherently economically backward and another is economically inherently advanced. Such a situation is what we must work for efficiently, effectively, with fairness and with dedication.
o "A full partnership in economic progress" cannot mean full partnership in poverty. It must mean a fair balance with regard to the participation and contribution of all our ethnic groups - including the Bumiputeras of Sabah and Sarawak - in the high-growth, modern sectors of our economy. It must mean a fair distribution with regard to the control , management and ownership of the modern economy.
o In order to achieve this economically just society, we must escalate dramatically our programmes for national human resource development. There is a need to ensure the creation of an economically resilient and fully competitive Bumiputera community so as to be at par with the NonBumiputera community. There is need for a mental revolution and a cultural transformation. Much of the work of pulling ourselves up by our boot-straps must be done ourselves. In working for the correction of the economic imbalances, there has to be the fullest emphasis on making the needed advances at speed and with the most productive results - at the lowest possible economic and societal cost.
o With regard to the establishment of a prosperous society, we can set many aspirational goals. I believe that we should set the realistic (as opposed to aspirational) target of almost doubling our real gross domestic product every t en years between 1990 and 2020 AD. If we do this, our GDP should be about eight times larger by the year 2020 than it was in 1990. Our GDP in 1990 was 115 billion Ringgit. Our GDP in 2020 should therefore be about 920 billion Ringgit in real (1990 Ringgit) terms.
o This rapid growth will require that we grow by an average of about 7 per cent (in real terms) annually over the next 30 years. Admittedly this is on optimistic projection but we should set our sights high if we are to motivate ourselves into striving hard. We must guard against 'growth fixation', the danger of pushing for growth figures oblivious to the needed commitment to ensure stability, to keep inflation low, to guarantee sustainability, to develop our quality of life and standard of living, and the achievement of our other social objectives. It will be a difficult task, with many peaks and low points. But I believe that this can be done.
o In the 1960s, we grew by an annual average of 5.1 per cent; in the 1970s, the first decade of the NEP, Malaysia grew by an average of 7.8 per cent; in the 1980s, because of the recession years, we grew by an annual average of 5.9 per cent.
o If we take the last thirty years, our GDP rose annually in real terms by an average of 6.3 per cent. If we take the last twenty years, we grew by an annual average of 6.9 per cent. What is needed is an additional 0.1 per cent growth. Surely if we all pull together God willing this 0.1% can be achieved.
o If we do succeed, and assuming roughly a 2.5 per cent annual rate of population growth, by the year 2020, Malaysians will be four times richer (in real terms) than they were in 1990. That is the measure of the prosperous society we wish and hopefully we can achieve.
o The second leg of our economic objective should be to secure the establishment of a competitive economy. Such an economy must be able to sustain itself over the longer term, must be dynamic, robust and resilient. It must mean, among other things: A diversified and balanced economy with a mature and widely based industrial sector, a modern and mature agriculture sector and an efficient and productive and an equally mature services sector; an economy that is quick on its feet, able to quickly adapt to changing patterns of supply, demand and competition; an economy that is technologically proficient, fully able to adapt, innovate and invent, that is increasingly technology intensive, moving in the direction of higher and higher levels of technology; an economy that has strong and cohesive industrial linkages throughout the system; an economy driven by brain-power, skills and diligence in possession of a wealth of information, with the knowledge of what to do and how to do it; an economy with high and escalating productivity with regard to every factor of production; an entrepreneurial economy that is self - reliant, outward - looking and enterprising; an economy sustained by an exemplary work ethic, quality consciousness and the quest for excellence; an economy characterised by low inflation and a low cost of living; an economy that is subjected to the full discipline and rigour of market forces.
o Most of us in this present Council will not be there on the morning of January 1, 2020 Not many, I think. The great bulk of the work that must be done to ensure a fully developed country called Malaysia a generation from now will obviously be done by the leaders who follow us, by our children and grand-children. But we should make sure that we have done our duty in guiding them with regard to what we should work to become. And let us lay the secure foundations that they must build upon.
( Source : Office of the PM Malaysia )
Malaysia Abdullah Ahmad Badawi bumiputra New Economic Policy (NEP) Bumi Equity vision2020
Labels: Politic- Local
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