PETALING JAYA: Economic development must be in tandem with reform efforts to improve human rights of Malaysians, says G25.
The group, which comprises senior and eminent former civil servants, said it is crucial to carry out reforms for the fundamental liberties or human rights as enshrined in the Federal Constitution to restore confidence towards the country.
“These reforms are fundamental so that the business community, local and foreign investors, as well as our talent pool of skilled and professional manpower will be more confident about the country’s future as a stable multiracial county,” it said.
According to G25, the ringgit has been gaining strength recently and this is an indicator of growing confidence towards Prime Minister Datuk Seri Anwar Ibrahim’s leadership.
“We believe that the Madani Economy will further consolidate the political strength of the unity government to achieve the prospects for peace and stability in the country,” it added in a statement yesterday.
In response to Anwar’s statement, who pointed out that the share of wages in gross domestic product (GDP) has not risen as fast as it should, the group said this could be attributed to the over-reliance on cheap foreign labour in the country.
“When the companies want to expand their operations, they will just import cheap foreign labour, depressing wage increases in the private sector,” G25 added.
It also revealed that the low wages have resulted in many Malaysians searching for opportunities overseas, leading to the loss of skilled and professional manpower to other nations.
This brain drain needs to be addressed urgently, it added.
The economy framework targets to achieve more than 5% GDP growth over the next few years while the projected growth rate for Malaysia is between 4% and 5%.
On this, the group said stronger measures are needed to deal with the leakages arising from corruption, rent-seeking practices, mismanagement, cronyism and favouritism among politicians and civil servants to ensure the sustainability of the government’s expansionary budgetary spending.
“Measures to strengthen the revenue base and cut down on the wasteful subsidies should also become part of the financial reforms to keep the fiscal deficit ratio under control,” it added.
The G25 also emphasised the importance of English proficiency as the country progresses towards rapid development in high-technology, knowledge, industrialisation, service and gig economies.
“The skill sets required will definitely include English proficiency.
“We assert that the learning of Science and Mathematics in English from a young age, starting at primary schools, to secondary and tertiary would provide a seamless learning path and knowledge transition to get them well-prepared for such jobs and to capitalise on these rapid developments,” it said.
Meanwhile, former health minister Khairy Jamaluddin said the Madani Economy framework identified the current economic issues, from the lack of new engine growth, the huge gaps between household incomes to Malaysia potentially plunging into a vicious cycle of mediocrity with low wages and less competitiveness.
“I like this. Especially as it also correctly outlined two major components of our economy, which is the need to raise both its ceiling and floor,” he said during his “Keluar Sekejap” podcast on Saturday.
Khairy said raising the ceiling would help turn Malaysia into a regional economic leader, which would drive up foreign investment while raising the floor would help improve the daily lives of the people.
His co-host, former Umno information chief Shahril Sufian Hamdan, also pointed out that the economic framework was unlike the other “election-time promises”.
“He (Anwar) announced the framework without any pre-conditions or asking for the people to vote for the unity government.
“It will be implemented and benefit everyone in the country regardless of whether the unity government won the (six) state polls or not,” he added.
On Thursday, Anwar announced the launch of the Madani Economy, which aimed at boosting the Malaysian economy and the revenue spillover will be returned to improve the people’s quality of life.
The economic framework has since received strong public support with experts, economists and associations from various industries agreeing that it was a good start towards building a better Malaysia for all.
For the full statement from G25, see TheStarOnline
