What Subsidy Reduction

Each time when the Government threatens to reduce “subsidies” in the face of impending decision and social disquiet to increase prices of petroleum products and other essential goods such as sugar, oil, cooking, rice etc. we find all sorts of irrational justification being advanced from some imbecilic senior politicians, economists and academicians. They try to paint such a gloomy picture about the huge subsidy that the Government is annually subsidising in bringing down or controlling an increase in the prices of these essential goods. They often try to compare our prices with neighboring developing countries without reference to the fact that the referred socio-economic conditions are so different from those in Malaysia.

Recent price hike of Gasoline 97 and sugar by 20 cents per litre and per kilogram was not good enough. Resulting from the increases, the price of Kopi-O has gone up overnight by as much as 20 cents per cup despite stern warning being given by the Domestic Trade, Co-operatives & Consumerism Ministry that action would be taken against recalcitrant traders. How long can the enforcing effort last? Soon the price increase would have been forgotten by the masses. After a while, they are reduced to toothless tiger.

Must the people be compelled to accept such subsidy reduction as proposed by the Government? And who are these economists and analysts who advocated for the removal of the subsidy? They do not really give you the reasons why such subsidies should be reduced, do they? One ridiculous BN politician even dared the Opposition to reduce the subsidy!

Why does not the Ministry concerned invite the rakyat to a public forum and debate? I am sure the Minister will learn more sense from the masses than from these academic economists and uninformed politicians.

The statement by one Prof Datuk Mohad Salleh of UTAR’s Bank Rakyat School of Business and Entrepreneurship that it would be unrealistic for the government to continue giving the subsidies. I just find that his statement is just as unrealistic and baseless as the unwarranted removal of the subsidy. He must realize any unnecessary and further inflation is likely to cause hardship to millions of low-income people in the country.

In my humblest of considered opinion, if only our government is prudent in its spending, there is no need to talk about subsidy removal or reduction. If the Finance Ministry is stringent and serious enough in guarding the national financial goal-post, our country would have saved more than RM100 billion a year which just vaporized before our eyes through fraud, corruption, tax-evasion, money-laundering and highly-inflated and bloated project and tender prices.

The Minister further reiterated that the huge amount spent on subsidies should go to financing projects that would benefit the people more, like poverty-eradication programmes and building homes for the people. How would the recent 500 Million Pound property purchase or investment in London ever benefit the people? If such allocation had reached the masses, the Malays would not have voted against them!

The advocates fail to realize that Malaysia is an oil producing country and is endowed with various natural resources. When the price of crude and commodities goes up, it means more revenue to the country! This would certainly be sufficient revenue to provide for and offset whatever subsidy that the government has budgeted each year.

There is no need in my view for the government to think of squeezing blood out of the marrow of the rakyat for the benefit of its cronies. It is time that she learns how to tighten her belt and bring in more revenue from its exports, overseas investments and services. It is time that the GLCs have to move their asses and go forward and compete in the global market to bring in more revenue to the country rather than taxing the people to feed and featherbed the UMNO cronies and bailing out the ill-performed GLCs.

Malaysia is rich enough for every body if only the government exercises due prudence in its budgeting, project planning and expenditure.

First on the list is the government must take a serious and genuine effort to eradicate fraud and corruption. Secondly, she must stop the practice of awarding infrastructural projects at incredulously bloated prices. Thirdly. the NEP must be abolished in favour of the highly proposed meritorious socio-economic policies for the people regardless of race, religion, creed and political affiliation. Fourthly, recruitment for the civil service must be put on hold for the time being in an effort to address the preponderant racial imbalance. Fifthly, enforcement and implementation of government policies and programmes must be adequately supervised by the respective Ministers. Sixthly, efforts must be made to restore the dignity of the judiciary, police and military. Seventhly, all public universities must address and arrest their declining standards and ensure that proffered courses meet the industrial needs and the industrial expansion programmes of the government.

Unless the above actions are taken, UMNO will be doomed in the next election. You can come out with beautiful slogans but you do not walk the talk. Insincerity, furtiveness and deception are your style of government. The masses are just fed up of you. So know when to exit gracefully.

You can deceive some people some of the time, some of the people all the time but not all the people all the time., Period.