2011 Year of Change
Najib’s 2011 Message
In case you feel an irresistible urge to be taken in by Najib’s APCO-designed message, let me remind you of this:
Our budget deficit is growing at 7% per year. At this rate, we are on track to bankruptcy by 2014! That’s when we hit 90% Debt/GDP. Ireland needed a bailout at 83% in Dec 2010 and they had the European Union behind them. Who is behind us – Singapore?
Over the past 40 years, we have experienced budget deficits in 35 of them, even when petroleum was USD 140 per barrel. The only period we operated a surplus was between 1992 to 1997 when Anwar Ibrahim was the Finance Minister.
The Auditor General reports that RM 28 Billion is lost through leakages. That’s 14% of our Annual Budget!
PEMUDAH estimates Corruption costs Malaysia 1 – 2% of GDP!
3. Rosy Pictures:
Najib’s New Economic Model (NEM)“We are going to be a High Income Economy with Targets of US$15,000 – 20,000 per capita by 2020.”
Is this true? We have suggested, instead, that we are headed for a failed state – see video Malaysians4Change Video Part 1.
To determine the truth, let’s find out what is Najib’s promise at today’s prices?What can we buy with US$15,000 – 20,000 in 2020?
What is the value of US$15,000 – 20,000 TODAY? We need to know what is the REAL inflation in Malaysia, using a stable bench-mark.
Gold as the Bench-mark:
For thousands of years, gold has been accepted as money. That was the case up until 1971. In 1971, US President Nixon closed the gold window, meaning the US Government will no longer exchange the USD for gold. In other words, he broke the Bretton Woods System set up in July 1944.
However, in recent years, gold has been increasingly considered as money and a safe haven when paper money become unstable. The reason is that gold can hold its purchase power. One ounce of gold can buy the same amount of stuff in Year AD 1 as in 1970, 2010 or 2020. So we can accept gold as a stable bench-mark.
Measuring the USD against gold shows that from 31st Dec 1970 to 31st Dec 2010, the USD has depreciated 9.7% per annum against gold.
If we use the same rate of depreciation (9.7%) and project backwards from 2020, we can estimate what is the amount of USD that is required to buy the same amount of stuff as today.
The World Bank reports that Malaysia’s GDP per capita is USD 7,030 IN 2009. If we depreciate US$15,000 – 20,000 in 2020 back to 2009, we find that its actual value is only US$ 5,418 – 7424. In other words, by 2020, based on Najib’s NEM, we are worse off than in 2009! And we have already lost more than 97% since 1970! That means the future that UMNO is offering us is going to be stagnant or worse.
Why would we want that?
Are you excited about your income going down?
Hard to believe, isn’t it?
Let’s check up on our history: Fresh Graduate purchasing power has dropped by between 85% to 94% over the past 40 years depending on whether you measure prices in houses or gold.
Here’s another chart to tickle you.
After 40 years, a fresh graduate today is worse off than an amah in 1970.
What’s my point?
Do not be like a Boiled Frog, slowly being boiled alive. Watch long-term trends and understand the implications for you. All the trends point to a failed state. In fact, by 2020, we can expect to be an exporter of maids aand labourers.
Don’t be fooled by short-term rosy statements. It is part of a program of psychological warfare waged against you so that you continue to be robbed and raped by UMNO/BN and their cronies. And our taxpayer money is being used to pay APCO to brainwash us. Isn’t that great?
That’s “1Malaysia under UMNO” for you.
Our resolution for 2011 should be to CHANGE.
To KICK OUT THE OLD AND TRY THE NEW!
What have we got to lose?
Saturday January 1, 2011
KUALA LUMPUR: Malaysians must fulfil their responsibility in building a better future for the coming generations and place the country in its rightful position, said Datuk Seri Najib Tun Razak.
“Let’s not be satisfied and just sit back to be mere critics. Let’s mould a better future for the coming generations.
“The power to build lies in the hands of the people. Fulfil this responsibility as best as you can,” said the Prime Minister in his 2011 New Year message.
Najib reminded the present generation not to gamble away the future of the coming generations by making wrong decisions, stressing that the Government’s plans and programmes would not be successful without the support and cooperation of the people.
“This is not the time to experiment, but a time to renew and strengthen the trust in what has been proven to be effective,” he said.
The Prime Minister said the Government always adopted full responsibility in the management of the country, in particular the economy.
“As a government sensitive to the pulse of the people, we will not at all neglect the people’s interests by making a promise or a decision which seems to be popular but is actually to the detriment of the interests of everyone,” he said.
He said any government which promised or formulated popular but irresponsible policies would gain recognition or support in the short term, but in the long term it would be the people who would suffer.
“Learning from mistakes, throughout 2010, we built a strong foundation to ensure that the nation’s potentials and resources can be stimulated and mobilised towards achieving the national vision,” he said.
He identified the Government Transformation Programme (GTP) along with the six National Key Result Areas (NKRAs) and the Economic Transformation Programme (ETP) with the 12 National Key Economic Areas (NKEAs) as the basis of the New Economic Model, the 10th Malaysia Plan and Budget 2011, which served as a comprehensive roadmap to raise the living standard and quality of life of the people to a higher level.
“All this while, the Government, which was given the mandate, has striven with sincerity to meet the people’s needs and national progress to the best of its ability.
“Unfortunately, some quarters have arbitrarily accused the Government of being inclined to implement specific projects, particularly mega projects. Such accusations are not true at all,” he said.
Some people, especially the opposition, had criticised the construction of several projects including the North-South Expressway, the Petronas Twin Towers and the Penang Bridge, he said, adding that they were now too embarrassed to admit their mistakes because these projects had brought much benefit to the people.
“The question is if their opinions have proven to be wrong in such major matters, how can the people possibly trust any of their promises?” he said, adding that the opposition’s proposed 100-day reform announced recently would only raise expenditure as it did not consider the realities of the national revenue and sources of funds.
Saying he hoped that the people would be able to make their own evaluation, Najib said the Government had all along focused on the objective of ensuring sustainable economic growth.
This was because a boost in national wealth would provide for a rise in expenditure and enable the implementation of social justice, he said.
“It is directly proportional, meaning an increase in government revenue will result in a rise in expenditure for the people’s well-being,” he said and urged the people regardless of race and religion to heed the call to strive for the pinnacle of success.
His deputy, Tan Sri Muhyiddin Yassin urged Malaysians to continue with their practice of respecting each other and to strengthen their co-operation for the betterment of the nation.
In his 2011 New Year message, he said Malaysians should be proud with the uniqueness of the country that has been able to strengthen the harmony between the different communities that have different religious and cultural practices.
“I believe that all Malaysians realise the importance of political stability that has enabled all of us to enjoy the wealth and richness of this blessed land,” said Muhyiddin.
In wishing the people a Happy New Year, he also thanked the people for co-operating with the government on making development programmes a success.