8/9/2019 NEM How Do We Get There

1/3

NEM: How do we get there?By: By Tim Leonard (Wed, 31 Mar 2010)

PETALING JAYA (March 31, 2010): The New Economic Model (NEM) unveiled yesterdayby Prime Minister Datuk Seri Najib Abdul Razak has been described by many as astep in the right direction but the question on the minds of many Malaysians is,

how do we get there?

The public will be allowed to give their feedback and views until the NationalEconomic Advisory Council (NEAC) comes up with a complete set of recommendationsfor the NEM by the third quarter of this year.

theSun spoke to several Malaysians from various walks of life to hear their takeon the NEM and how the country can achieve the targets spelt out in it.C.K. Lim, an investment analyst, said although the objectives of the NEM are

good, more emphasis must be given to issues such as minimum wage, specific plansto cut red tape, eradicate corruption and poverty, as well as the issue of meritwhen it comes to education and opportunities.

The NEM hopes to increase the per capita annual income from US$7,000 toUS$15,000 but we must be able to figure out how all the plans are going to beimplemented so that the targets are achieved, said Lim.

"It is going to be more than drawing up a plan.

"It is going to be an effort in changing the mindset of Malaysians, they way we

work, and the way we do things."For stockbroker Lokman Abdullah, the fact that the Prime Minister acknowledgedthat there was rent-seeking and patronage in the current system, showed thatserious measures must be taken to ensure a fair and transparent playing field.

How is the NEM going to ensure that there wont be any more rent-seeking andpatronage, or favoritism and cronyism?

"What system are we going to have in place to ensure the old habits are notrepeated? he asked.

We can only move forward towards achieving these goals when corruption is

completely eradicated, especially in the public sector.

A company which is qualified and experienced to do a job must get therespective contracts or awards based on merit, not due to the relationship ofits directors with top government officials or their links," he said.For venture capitalist Siti Suhaida Abd Malek, the question is whether Malaysiancompanies could generate high-paying jobs and whether there is capacity toprevent talent from leaving the country.

The NEAC report says thousands of brilliant Malaysians are working abroad,"Siti said.

"The question is, do we still have any more brilliant and talented Malaysians inthe country and are we going to provide them with what they need and prevent

8/9/2019 NEM How Do We Get There

2/3

them from leaving?

"Is our education system good enough to churn out brilliant and talentedindividuals who can be readily absorbed into the public and private sectors?asked Siti.

"For example, how is a local biotech company with an annual turnover of say,

between RM5 and RM10 million going to afford hiring top scientists and pay themtop bucks so that they will not find the grass greener on the other side."S. Selvabalan, an offshore banking consultant, hopes the NEM would not just endup a slogan but a reality.

"I heard the PM

s speech and was impressed that we are taking affirmativeactions and plans to become a high-income nation. It is certainly a good planbut there are scores of question we, as Malaysians, must answer first beforeanything good could take place," he said.

"My brother is a 35-year-old bank clerk who earns an average of RM2,500 a month.

How can he increase his earning capacity to say RM5,000 or more a month, astargetted in the NEM?

"Obviously, the bank must promote him or he must pursue additional educationqualification, say an MBA course, so that the bank deems him fit for a promotionor a raise.

"How is he going to pursue an MBA and how is he going to finance his studies? Isit going to be easy for him to get a study loan when he has got othermortgages," he said.

"For the average wage earning Malaysians, the NEM must be practical andworkable.

"Any plan is good only if it works.Insurance consultant K. Sagadevan said the Government should look at fundamentalissues that could impede the nation from achieving the high-income status.

"I seriously think the Government should remove the

burden

of education fordeserving Malaysian students so that anyone, regardless of race or background,can study and become a doctor, an engineer or a biotechnologist," saidSagadevan.

"For an average Malaysian, educating their children, especially at tertiarylevel is quite expensive and a huge burden. Its not easy if one has four or fivechildren.

"Look at Germany, tertiary education there is free. Any student who ishardworking can become whatever they wish because education is free.

"Can the Government work out a scheme like that because education is the key tonurture talent and develop our country," said Sagadevan.Money changer and businessman Ali Razak, said the Government

s plan to achieve a

high-income nation status, and to ensure sustainability and inclusiveness is notimpossible given that other countries that had lower per capita income in the

8/9/2019 NEM How Do We Get There

3/3

1990s have achieved success in transforming themselves to high-income nations.

"Look at countries such as South Korea and Poland. If they can do it, so can we."We just have to get the right formula, stop repeating our mistakes and learnfrom countries which achieved the targets," said Ali.

"Perhaps, top Government officials should spend the next coming months visiting

South Korea, Poland and Czech Republic to learn how they did it," he said. --theSun--- end ---

Article

s URL: http://www.sun2surf.com/article.cfm?id=44974