KUALA LUMPUR: Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi has cautioned against underestimating the scale of the economic challenges the country faces next year.
He said it would take a united effort among all quarters to ensure that Malaysia emerges unscathed from the global economic slowdown.
"The scale of the challenges we face next year cannot be dismissed lightly.
"First, overall inflation is expected to remain high at 2.8 to 3.3 per cent by 2023, caused by pressure from demand and cost, rising global commodity prices due to the military conflict in Ukraine, and ongoing supply disruptions.
"This high inflation rate will continue to affect spending power and the people's savings ability," he said in a statement today.
He said secondly, the prospects of the industrial sector is pessimistic from Q4 2022 until Q1 2023, adding that sentiments in the construction sector remained negative for Oct 2022 until March next year.
He also cited the growth slowdown of the three economic superpowers, namely the United States, China and the European Union.
He said this will have a widespread effect on the trade and financial sectors throughout Asia, especially Malaysia as an open economy.
"These challenges require solid cooperation between all quarters, especially parliamentarians.
"As responsible MPs, we need to return to debate solid growth strategies and find the best solutions for the people.
"The opposition has to be conscious of issues of economic recovery and development. We cannot continue to leave the country plagued by political uncertainty," he said.
Zahid said the strengthening of the ringgit after the new government was formed has provided a clear picture of why political stability was the cornerstone of building a better economy.
He said credit rating agency, Fitch Solutions, which had downgraded Malaysia's credit rating from A- to BBB+ in 2020 had specifically listed political instability as among the reasons behind the downgrade.
"Let's not jeopardise political stability. We all stand to lose out. The drive to rebuild the country and help it fulfil its economic potential begins with a credible parliament," he said.
Zahid voiced his hope that the quality of the debate in parliament sessions would be of higher quality.
"I also hope that the opposition can form its shadow cabinet and truly function as an effective opposition."
https://www.nst.com.my/news/nation/2022/12/862811/zahid-dont-underestimate-scale-economic-challenges-next-year
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
Created by savemalaysia | Mar 28, 2024
How about reducing civil servants by 50%, abandon discount for bumis on house purchase, stop all free money to citizens, filter scholarship award for the best only and may more wastages. Don't think like a pirate by taxing.
2022-12-21 16:46
Stop budget allocation and sponsorship for sports in which we are hopeless... namely football. The team consists of so many naturalised players anyway, so why waste money to foreign players.
2022-12-21 21:38
"Posted by ben0303 > 10 hours ago | Report Abuse
@DickyMe, only time will tell. Now too early to draw any conclusion."
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It all depends on how freely the Minister is allowed to operate.
If they are hanged by a string then what you say maybe true.
2022-12-22 11:13
Economic downturn is nothing new. It is a cycle. Sometimes it is short but this time it has been a while and painful. The pain is affecting many people but to the poor, they are the most affected and vulnerable. Poverty is bad for any country and wealth/income disparity will destroy any nation in the long run. Fairness is not always being equal treatment but putting things where it is needed the most, will always balance the force and result in equilibrium and just. Therefore, prosper your neighbors, socially and economically so that those who are having the most wealth will not lose much more than they can swallow.
2022-12-22 17:36
chinaman
gomen must find new source of tax revenue. Can we start with legalise daun ketum, marijuana for medicinal purposes or export? Wau bulan seems to be right with this idea. import firecrackers also must be legalized by imposing import duty.
2022-12-20 19:42