This is from the Malaysian Insight :
latest World Bank report shows Malaysia’s economy growing weaker.
Out of 15 Asian economies Malaysia and few others to worsen.
World Bank forecasts 2018 growth 5% (Malaysia)
2019, decrease further to 4.8%.
There is less than three months to go until 2018.
(My comments : The WB forecasts steady decline in Malaysia’s GDP from 2018 till 2019. In the US if there is a decline in GDP growth over three quarters (9 months) then they say the economy is in a recession. Here the WB is forecasting a decline in GDP growth over TWO years – 24 months.
2017 has been very difficult for all businesses. My view is if the kleptocrats prevail then 2018 is going to see the economy literally close shop. For example do not ignore my comments about petrol stations run by our national oil corporation. )
While most Asian economies rising, Malaysia in decline
not adapted to both global and domestic economic conditions.
(My comments : Indonesia, Philippines and Thailand are doing super good. In THailand the generals who are running the country have learnt to say “How can we help you?”)
M’sia 1 of 2 Asian economies household debt “exceeds 70% of GDP”.
Malaysia’s debt bubble is about to explode.
(MY comments : Among some GLCs the debt bubble has already exploded. But “friendly friendly” GLC banks to whom they owe money are rescheduling the loans again and again, so that they do not go bad. Another example – will KWAP ever issue a letter of demand to 1MDB?)
GDP numbers, global rankings which Najib obsessed haven’t benefited Malaysians.
fundamental question: what does GDP really mean in the daily life of Malaysians?
During failed US visit, Najib said 5.2% growth is “envy of advanced economies”.
Iraq 11% growth
Bangladesh 7.1% growth
Ethiopia 7.6% growth last year
(My comments : Alamak even Bangladesh has grown 7.1% !!)
Instead, Malaysia is falling behind its Asian neighbours.
Bloomberg : Indon, Thais world’s top 10 populations where
highest numbers of millionaires being created
increasing by 13.7% and 12.7% respectively.
(My comments : Malaysia is producing world’s highest number of Malay poor, 7.1 million on BR1M alone. Hooray !! )
Unlike Asian neighbours, Malaysia has not entered G20
or trillion-dollar GDP club (BN’s latest target is trillion ringgit).
M’sian youth unemployment skyrocketed to 12.1% and rising
FOUR times national unemployment rate.
Bank Negara survey 3 of 4 M’sians find difficult to raise RM1,000 in emergency.
(My comments : We need the racial breakdown. Most of the unemployed are Malays / bumiputras.)
Najib notorious for falsifying economic data selectively quoting reports
omitting bad news, twisting economic portrait of Malaysia
he is politically unstable.
The Incompetence Of The Najib
In recent best-seller The Rise and Fall of Nations, author describes particularly hilarious but disturbing story about Najib’s inability to understand Malaysian economy:
“On a visit to New York in October 2015, one of my colleagues asked (Najib) whether the collapse of the value of the ringgit is offering any boost to the nation’s embattled manufacturing sector.
He answered by missing the point, saying the cheap ringgit is great for tourism, which can be an important contributor to growth in a country as large as Malaysia. Pressed on the manufacturing question, Najib seemed at a loss.
An aide in the back of the room pitched in to help, but spoke about investing in oil and other raw materials. The crowd left with the impression that Malaysia is missing an opportunity, because the cheap currency coupled with the right reforms could supercharge Malaysian manufacturing.”
All M’sians should read new World Bank report
BN missing additional opportunities for growth
more focused on protecting the elite few. – October 9, 2017.
* The writer Athena Athena is a reader of The Malaysian Insight.