Najib's plan: Pakatan MPs' thumbs down, MIC's thumbs up

By Syed Jaymal Zahiid - Free Malaysia Today,


KUALA LUMPUR: Pakatan Rakyat leaders were not impressed with the 10th Malaysia Plan (10MP) unveiled by Prime Minister Najib Tun Razak in Parliament today.

Many of them felt that the economic blueprint was merely a rehash of previous plans, while some panned the objectives as being too far-fetched.


DAP's chief economist Tony Pua said maintaining the 30 percent Bumiputera equity target was an extension of the race-based affirmative action under the New Economic Policy (NEP).

This, he pointed out, contradicted Najib's pledge to open up the market.

"Whether on the micro or macro levels, 30 percent of private and corporate wealth are allocated for the Bumiputera; and all the policies put in place are trying to achieve this target.

“To me, this is just an extension of the NEP and there's no difference in what the 10MP tries to achieve compared to the 9MP," he told reporters.

The racial quota was maintained as part of the Najib administration's effort to enhance Bumiputera economic participation under the 10MP. It is also being viewed as a move to pacify Malay voters in light of the stiff opposition towards the prime minister's New Economic Model (NEM).

Meanwhile, PAS central working committee member and Kuala Selangor MP Dr Dzulkefly Ahmad said maintaining the quota system contradicted of the 10MP's main thrusts, creation of a more inclusive economy.
"He had contradicted himself when he talked about the Bumiputra Commercial and Industrialised Committee, he must have been thinking of Perkasa and other ultra-Umno leaders.

"Those things are virtually exclusive. You can still adopt affirmative action, but only when you're dealing with the poor," he said.

Najib has set up a high-level committee, which he will chair, to monitor and ensure Bumiputera participation in the business sector.

In a tweet posting, Umno Youth chief Khairy Jamaluddin said although the 30 percent target has been maintained, it will focus more on merits and not favouritism.

Who's benefiting from mega projects ?

As much as RM230 billion has been allocated for the five-year plan that aims to turn the nation into a high-income economy by 2015.

The lion's share, a whopping 55 percent, will be injected into the economic sector, 30 percent for the social sector, 10 percent for security and 5 percent for administration.

Najib also announced various construction expenditures for business-conducive enterprises.
Commenting on this, Pua expressed concerned because "mega projects" like the construction of the giant Martrade Expo Centre and the relocation of the Sg Besi military airport will be given directly to favoured companies.

"This is contrary to the NEM. We ask for free competition but a lot of the projects will go to government agencies and will be awarded directly without the open tender process.

"We are worried that this private-public programmes will be a repeat of the 1980s and 1990s where government cronies will get the projects," he said.

10MP objectives unrealistic

Also uimpressed with Najib's first economic plan, DAP's Klang MP Charles Santiago said the premier had set unrealistic goals, such as the 6 percent annual growth target and slashing deficit to 2.8 percent by 2015.

Santiago, an economics graduate, argued that poor foreign direct investments and the braindrain crisis will not help Malaysia achieve these targets.

"So how do we achieve them? The answer to that is, cut subsidies and implement the goods and services tax," he said.

Santiago also pointed out that the education policy under the 10MP- which will see public-private cooperation- will only widen the gap between the social classes.

"This is to bring private money into the school system..,when you do that, you will create a hierarchy in the school structure.

"So you have the richer students going to these schools and the national schools will become ghetto schools," he said, adding that this issue must be addressed.

MIC: Indians will benefit

In a related development, MIC is confident that the Indian community will benefit from the 10MP and the party has vowed to follow-up with an action plan.

Party president S Samy Vellu said MIC will follow-up on the new initiatives proposed for the Indian community to ensure they benefited the target groups.

He said the party was thankful to the government for allocating an additional RM70 million for the redevelopment of Tamil schools throughout the country.

Last year, the government set aside RM100 million for Tamil schools under the two economic stimulus packages, he said

“We will monitor the implementation of the new initiatives under the 10MP, and ensure the specific targets are met for the Indian community,” he said in a statement today.

Among the initiatives include an 87 percent increase in the setting up of pre-schools in all partially aided schools, including Tamil schools; government to absorb payment of electricity and water bills up to RM2,000 for each partially aided schools; and additional allocation for Indian small businessmen through Tekun Nasional.

Other initiatives include increasing the income and standard of living for the bottom 40 percent households through various initiatives and the construction of 78,000 affordable homes for the poor.

The MIC chief said the many of the party’s recommendations have been taken into consideration by the government in the 10MP.

Meanwhile, Human Resources Minister and MIC vice-president Dr S Subramaniam said the 10MP will benefit the Indian community as more opportunities will be provided for them.

“There will be opportunities in skills training, entrepreneurship and better educational prospect in the 10MP,” he said in a statement.

Subramaniam said the estate workers too will enjoy the benefits of the 10MP, including a better standard of living, housing and programmes for the youths.

He said the move to give opportunity for children from poor families to stay and study at the ‘1Asrama” or 1Hostel in the 10MP will further boost the 1Malaysia concept.

The minister hoped that the squatters issue plaguing the Indian community in urban areas will be addressed through the special housing initiative and the allocation of RM48 million to alleviate poverty.

He also said MIC will aggressively register the poor and hardcore Indians with the “e-Kasih” portal to ensure they received government assistance, especially under the 10MP.

“It is a good plan (10MP) and we will continue to monitor its implementation. It is time to get to work,” he added.