The 9th Malaysia Plan

The prime minister of Malaysia, Datuk Seri Abdullah Ahmad Badawi had unveiled the much aniticipated 5-year 9th Malaysia Plan (9MP) yesterday. Here's the Ninth Malaysia Plan at a glance :

• 9MP to cost RM220 billions
• ECONOMY to expand by 6.0 % per annum
• RURAL Dvelopment RM10.9 billions, Finance RM9.8 billions, Transport RM9.5 billions
• POPULATION to grow to to 28.96 millions
• BUMI corporate equity share to reach 30%
• INDIAN share of corporate equity to attain 3.0%
• RM9.1 billions for agriculture
• PRIVATE FINANCE initiative for RM20 billions of projects
• PM's DEPT gets lion's share of RM29.68 billions or 13.5%
• EDUCATION RM23.19 billions or 10.5%, works Ministry RM18.9 billions
• HIGHER education RM17.6 billions, Defence RM15.75 billions
• ENERGY, Water & Communications RM12.12, Health 11.00 billions
• BUMI CONTRACTS to make up 60% of all works in civil works.

Although the proposed allocation for 9MP is quite handsome, but the plan is an anti climax. There is nothing new in the content of the plan, it still harps on old tune like 30% share for Bumi, bridging the income disparity between the Bumi and non Bumi, eradicate poverty,the 2020 Vision, etc etc. The PM even coins the new phrase for this plan - THE FIVE KEY THRUSTS OF THE 9TH MALAYSIA PLAN.

The wording part of the 9MP is excellent, only thing is that the implementation part is not. I will give it a 20%-30% success rate.

I predict more than 80% of the allocated RM220 billions will be sucked up by the small group of elite rich Malays (Cronies as the opposition called them) like a huge sponge, maybe a trickle will filter through to the hardcore poor Malays at the rural areas. The remainder will be divided among the middle-class Malays, the Chinese, The Indians and foreign investors. How to close the gap between the urban and rural areas this way? The Malays already own more 70% of the economy in monetary terms but falls far behind the 30% mark in head-count terms, because the distribution of wealth is too concentrated in a handful of elite Malays.

The Malays youths will be ushered into local universities or other institutes of higher learning, and then to a good secured job in the civil service. But over the years the giant civil service's oversized body can take in all of them no more. Some of the Malays graduates are unemployed in the end. This is a pitiful lot, much worse off than the Chinese and Indian youths.

The non Bumi youths kowing very well that getting a place in the local universities and then onto a secured job in the civil service is next to impossible for them, they will either go overseas (depending on family ability) to further their studies and do not return to Malaysia, or will take the plunge into the working place as non-graduates and learn a vocational skill. They will work and gain enough experience after some time and start their own business, so the non Bumi business community will grow bigger and bigger. Surprised, aren't you? Well, you should not be, this is a vicious circle, and the Malaysian government is not trying to put in a sincere effort to correct it.

At the mean while what happen to the unemployed Malays graduates? Well, they stay at home, grumbling, whinning and waiting for openings like the 9MP to come along. They loathe the idea of learning up the skills to do business. How do you expect them to take over the business control of the country?

Slotting 60% of all civil works to Bumi contractors will help to produce more Bumi entrepreneurs? You can allocate 100% of the contracts to them, all the contracts will be carried out by the non Bumi contractors in the end, the Bumi contractors will just sit back and enjoy the commissions. The legend of "Ali Bapa" will live on! Will they ever learn any thing? Of course they will, they will learn to drive expensive cars, learn to search out the most expensive holidays spots, learn to politics with money and eventually learn to file for bankrupcy.

The award of tenders of civil works are always seen as the pay off by political leaders to their supporters. We should not expect any different this time around. We live in a real world.

Penang, home state of the PM and Sabah which is lagging behind other Malaysian states economically are the two happiest states this time. They will both receive larger allocation of funds during the 9MP.