The country’s financial situation may be complicated by the handover of power from Dr Mahathir Mohamad to prime minister-designate Anwar Ibrahim.
“It keeps coming back to where the country is going to go, it’s kind of on the government to lead the way,” said Jalil Rasheed, a Singapore-based investment director at Invesco Asset Management. That led growth to ease to 4.7% last year, with the government targeting a pick-up to 4.9% in 2019. Economists aren’t so sure, predicting growth to reach just 4.5%.
It pledges to address productivity growth, streamline state spending to prevent corruption, and widen its fiscal space by raising tax compliance. India’s S&P BSE Sensex index declined 5% the year after its 2014 polls before gaining 2% in 2016 and 28% in 2017. Indonesia’s Jakarta Composite Index slid 12% in 2015, the year after its elections, before rebounding 15% in 2016.Malaysia’s case may be complicated by an expected handover of power from Prime Minister Dr Mahathir Mohamad to Anwar Ibrahim, who was promised the top seat before the election.
Time for a budget deficit to fund growth of the economy in right areas. Tax breaks to attract private investments + direct investments by Gov’t too. Regulation should not stifle economic activity. It should be balanced to suit the times + not suffocate economic activity. Action!
Everyone is still waiting....still no reform and no focus yet on economic development! Busy politicking!
Let’s start with Penang Tunnel project.