Discussion: View on 2nd Financial Stimulus Package

[chenchow]

Deputy Prime Minister and Finance Minister, Datuk Seri Najib bin Tun Abdul Razak, has been embarking on a mission to collect feedback from fellow Malaysians on how the 2nd Financial Stimulus Package should be.

Lets either submit individually or as a group of ReComers to . You can see the post by DPM here

This is our chance to work together to decide on what Malaysia should do to create our financial stimulus package.

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A couple of days ago, I announced the Head for the Project Management Unit in the Ministry of Finance to ensure the timeliness and effectiveness of the First Stimulus Package. I am pleased that we are already making further progress in reducing bureaucracy - allocations for Chinese schools for example, are now given directly to the schools' administrators for faster implementation.

As you may already be aware, a second stimulus package is in the pipeline. For one, the focus of this package will be different from the first. While the Second Stimulus Package has an overriding objective to address the issues facing us that have come about due to this global financial crisis, it will be focused on niche areas of the economy. I am in the process of gathering views from different parties on what is to be included in the second economic stimulus package. The relevant Government ministries and agencies are also committed to the stimulus package so that we avoid falling into a recession and sustain our economic livability.

I thought it would be a good idea to reach out to you via 1Malaysia to hear your views, comments and suggestions on steps and measures you think the Government should include in the Second Stimulus Package, In this regard, I invite all Malaysians to participate in providing constructive and healthy, yet concise inputs as your personal contribution to move our nation forward. In addition to submitting comments on this blog, you can also put forward your ideas to me through . I look forward to hearing from you.

[vikraman]

My suggestion? Stop wasting TAXPAYER (Not Your) money on "financial stimulus packages" designed to enrich Umnoputeras. Resign as well for good measure and call early (fair and unbiased) elections. Then if you win and gain some legitimacy for your illegitimate government we'll talk about financial stimulus packages you incompetent [censored].

[chenchow]

Lets be constructive in giving suggestion, as these suggestions would be used to form the 2nd Financial Stimulus Package.

So, lets play our part as a responsible citizen to share our idea, on what the country should do.

[youngyew]

Moderator note: Please, no outright defamation. It's one thing to criticise someone as incompetent, and another thing to label someone a criminal.

[Al-Bert]

1) Ban automatic EPF reduction to 8%.

2) Income tax cut to stimulate spending. ( only for low and middle income family )

3) Increase the tax of higher income earners. ( to compensate the tax cut for the poorer group)

4) Reduce foreign labors systematically.

[vikraman]

In the interest of being constructive...

A) Remove NEP.
B) Enact Race Relations Act banning all forms of racial discrimination in both government and private sectors.
C) Dissolve and ban race and religion based political parties.
D) Sack all inefficient members of bureaucracy and cut down red tape.
E) Enact Media Ownership Laws banning peoples with vested interests in owning any part of the Media.
F) Repeal the Big 5. ISA, OSA, PPPA, Dangerous Drugs (Detention), Sedition Acts.
G) Revert to 1963 Constitution (with amendment for removal of Royal Immunity.)
H) Strengthen protection of individual rights (Copy and Paste American Federal Constitution Bill of Rights?)
I) Remove Executive Control of Judiciary by creating a fully independent JAC (Not a watered down, UMNO-ised one.)
J) Institute a fully independent Anti Corruption mechanism and ombudsman mechanism for both government and private sectors.
K) FORCEFULLY RENATIONALISE ALL GOVERNMENT LINKED COMPANIES.
L) SELL OFF ALL NEWLY RENATIONALISED GOVERNMENT LINKED COMPANIES ON A PIECEMEAL BASIS AT FAIR PRICES.
M) Institute anti-monopoly and anti-competition laws.
N) Dedicate Money from oil royalties to a national welfare fund for people living in difficult conditions. (Unemployed, Disabled, Single Parent, Senior Citizens etc.)
O) Enact Minimum Wage Laws.
P) Revamp of Labour Laws to protect the working man.
Q) Allow Labour Unions to operate freely and without restriction.
R) Ratify ALL UN Conventions. EVERY LAST ONE.
S) Give Force of Law to Ratified UN Conventions Constitutionally.
T) Education system Revamp. (Explored in other threads already...)
U) IPCMC.
V) Affirmative action programs for ALL poor.
W) Divorce AG's office and Lower levels of Judiciary.
X) Cabinet appointments have to undergo Parliamentary Confirmation.
Y) Constitutional Amendments require both 2/3 majority in Both Houses and 51% approval by public referendum.
Z) Senators to be fully elected with each state represented by 3 Senators and Each Malay Ruler allowed to appoint Two Senators of own choice.

There you go, a (non-exhaustive) A-Z on how to improve our economic competitiveness thus eliminating the need for any short sighted financial stimulus packages.

[Al-Bert]

I believe the package is meant for the prompt actions to minimize the negative impact and severe downturn on our economy and citizen lives in sailing through the rough patch of current global financial crisis.

Alright, I understand that improving economy competitiveness could also boost the economy growth but i suppose it won't help much during global financial crisis. Otherwise, the high competitive countries like Japan, Singapore, S.Korea and Europe countries wouldn't have a hard time in sustaining their economy during global financial crisis.

[vikraman]

Other countries were already efficient but suffered fundamental market shifts. We're inefficient, coupled with fundamental market shifts we were simply shot twice with the same bullet.

[chenchow]

I would say that it would be good to submit some of those ideas to the government through the link above.

What they are looking for would be stimulus, which can push your economy upwards and prevent it from gong down the drain.

The Star reported that Finance Minister's office have received 135 proposals of how to prepare the stimulus, and we can definitely add a few more proposals to them. Do submit it soon, so that they can consider.

My personal thought of this would be to inject liquidity for the middle or low income people.

Some ideas:-
1. Reduce sales tax from 5% to 3%.
2. Reduce brokerage fee from RM40, and to allow free competition to fight for it. (this would help generate some cash flow for companies)
3. Expedite payment from Government and GLCs

[Thirdshifter]

easiet way would be to manipulate the currency. Artificially reduce the value of ringgit and see malaysian goods fly off the shelf.

We have the infrastructure and resource to mass produce just about anything.