Three concerns not addressed by the Budget Dr Jeyakumar Devaraj

OCT twelve Every year, once a Budget is review by a financial minister, a Barisan Nasional sycophants will tumble over any alternative in perplexing to give a certain spin to it.

Tomorrow, you will see a same sleepy phrases steady in a mainstream papers "a people's budget", "a caring budget", "budget from a heart", "with goodies for everyone", as well as alternative sweetened phrases meant to have everyone hold in a humanity of a BN government.

Sure there have been some points which have been certain a abolishment of all propagandize fees, for example, which yet is usually about RM200 per student, will give real relief to a 40 per cent of family groups whose sum monthly income is reduction than RM2,300.

The grant of RM100 million any for Tamil first schools, Chinese first schools as well as religious schools will be of good help to these partly aided schools. And there have been multiform alternative examples similar to these.

An design comment of a inhabitant Budget, however, has to go deeper than this. You just can't juxtapose a couple of goodies for manifold sectors as well as use which to argue which it is a good Budget! A inhabitant Budget is a blueprint detailing how a supervision of a day skeleton to tackle a categorical mercantile problems confronting a nation.

So what have been a categorical mercantile problems confronting a nation? I think which there have been 3 categorical ones:

There is a real probability of a serious retrogression in a subsequent twelve months. The sovereign debt crisis in Europe as well as a US might curt this. How would this start us, a republic which exports roughly 60 per cent of what you produce? How should you prepare ourselves for such an eventuality?

Liberalisation of a manage to buy as well as a faith on a giveaway marketplace to supply basic necessities such as health care, water, preparation as well as housing have led to monetary hardship for a 80 per cent of family groups earning reduction than RM5,! 300 per month. How do you residence this problem?

The leakages have been enormous. Government procurements have been during prices which have been up to 3 times their actual marketplace value. The expansion bill is about RM45 billion, as well as a grant for supplies as well as services is an additional RM30 billion. At a conservative guesstimate which half of this money will go into a pocket of cronies by over-priced contracts as well as quotations, a republic will lose RM37.5 billion in a march of 2012. (To put this volume in proper perspective, a sum bill for a Selangor State Government for 2010 was reduction than RM1.5 billion!)

Sad to say, nothing of these consequential issues have been addressed in this Budget.

The supervision planners appear preoccupied to a probability of a recession. They talk glibly about receptive to advice fundamentals, of robust expansion in India as well as China though taking into account which 8 per cent expansion in gross made at home product (GDP) of US$ 1.5 trillion (India) as well as US$ 3.3 trillion (China) is not sufficient to opposite a dump of 4 per cent in a US GDP (US$ twelve trillion) as well as a total GDP of a EU which is of a similar magnitude!

And in any case, China's as well as India's expansion rates additionally rely to a certain border on exports to a US as well as a EU; so their expansion rates will additionally be brought down by a retrogression in a West!

There have been multiform things you can do to pillow a outcome of a serious recession. One would be would be to quickly exercise a Retrenchment Fund which a MTUC, PSM, Jerit as well as alternative labour groups have been asking for.

Another would be to put off expensive infrastructure work as well as keep those supports in reserve to ensure which a rakyat's basic needs have been met maybe by a arising of food stamps if there have been people who cannot find re-employment for some months.

As for a emanate of liberalisation, it appears which Prime Minister ! Najib Ra zak as well as his planners have no doubts in their mind, although ordinary people a universe over have been coming out to protest neoliberal policies.

The liberalisation of an additional 17 use sub-sectors including in isolation hospitals was announced in a Budget. Now a foreign company can set up a in isolation hospital in Malaysia. The fact which this will accelerate a brain empty as well as weaken a supervision sector on which 75 per cent of a race rely seems to have been deemed unimportant by a financial minister!

As for plugging leakages, there is nothing though mouth use as well as a whole set of acronyms such as "SRI", "GTP" as well as "ETP" between others, which do not appear to have reduced a theft of open supports significantly. There do not appear to be any new believable initiatives in a 2012 Budget to stem a haemorrhage of open funds.

The 2012 Budget fails to residence a consequential mercantile issues confronting a nation. This can usually meant one thing those entrusted with a stewardship of this republic as well as a economy, have been positively not up to mark.

It's tall time they have been replaced! aliran.com

* Dr Jeyakumar Devaraj, an Aliran member, is a MP for Sungai Siput

* This is a personal perspective of a writer or publication. The Malaysian Insider does not validate a perspective unless specified.

The Malaysian Insider :: Side Views

Courtesy of Bonology.com Politically Incorrect Buzz & Buzz

No comments: