Be aware of Fitch’s fiscal warning


— Ramon Navaratnam
The Malaysian Insider
Aug 23, 2012

AUG 23 — International ratings agency Fitch Ratings has once again warned Malaysia that its public finances are under sustained strain!

This firm but polite expression of censure, if not admonition, should not be played down by unduly highlighting Malaysia’s short-term good economic growth gains in the last two quarters of this year .

Neither should we be complacent about the serious declines in economic growth and stability occurring currently in the relatively rich developed industrial world. We can do this only at our own peril.

The fact of the matter is that Malaysia will be adversely affected by the global slowdown in the near future. The extent of our economic slide is difficult to project at this time. But we know for sure that we cannot take a “business as usual” attitude against the headwinds and strong disruptive socio-economic currents whirling around us, at home and from abroad.

Thus we have to safeguard the economy against increasing strains on our national “credit profile”. This means, in short, exercising more fiscal discipline to restrain our high budget deficits and the budget and national debt from growing big and bad.

Budget 2013, to be tabled in Parliament next month, must therefore ensure that the necessary budget fiscal and monetary measures are adopted to strengthen our economic foundation and the fiscal reforms relating to better management of budget revenues, expenditures, the national debt and balance of payments, in the face of the inevitable global economic slowdown

Budget 2013 must therefore clearly show that it has taken Fitch’s fiscal warning seriously or Malaysia will have to pay penalties now being experienced by many developed countries!

We believe 2013 Budget should and will accordingly be designed appropriately.

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  1. #1 by boh-liao on Friday, 24 August 2012 - 4:10 am

    AhCHEATkor larfs heartily: What me worry? No problem 1, we r RICH, d 2013 Budget will b very generous 1, erection budget mah, also got 2 squeeze $$$$ in2 UmnoB/BN’s war chests 2 bribe voters leh (code-named BOMB by UmnoB/BN, as exposed by an ex-Supreme Council Member of UmnoB)

  2. #2 by boh-liao on Friday, 24 August 2012 - 4:21 am

    DAP n PKR: Better b aware of what both of U r doing in Pg behind closed doors
    What’s dis abt tokong dis n arrogant dat?
    R U 2 enemies sleeping in d same bed? Sabotaging each other in d coming erection?
    1 win in 2008 must hv gotten ur heads swollen
    Don’t forget, rakyat n voters r NOT FOOLS, they can FLOAT U, they can also SINK U

  3. #3 by Godfather on Friday, 24 August 2012 - 7:59 am

    Problem ? What problem ? Money ? We have a new facility to print money….Fitch? They are run by Jews.

  4. #4 by yhsiew on Friday, 24 August 2012 - 8:16 am

    The unrestrained giving out of money during election time by the ruling government will surely hurt the national economy in the midst of a global downturn.

  5. #5 by dagen wanna "ABU" on Friday, 24 August 2012 - 8:57 am

    Obviously fitch knows nothing about our cintanegara’s Prinsip2 Ekonomi Pokok Rambutan. By Prinsip ke-18: “Jimat sejak bayi, dewasa nanti beli diamond besar2.” And this is no plain utterance on paper. It was proven in real life: See fat mama ros for e.g.

    Mind you. This is only one of the many prinsip2. I heard there is also something in the book about flipping patties in space. And absorbing radiation for perpetual self-illumination. But strangely there are several warnings, I am told. Keep away from water bottles and do not pee at the base of poles or posts and be wary of 8 yr old kids (for they can cause trouble and can molest someone via remote control).

    JJ1B
    RR1C!

  6. #6 by sheriff singh on Friday, 24 August 2012 - 11:15 am

    Who is Fitch? What is Fitch? Don’t trust Fitch.

    We have plenty of PEMANDU stars and Idris Jala who know better. They write lovely glossy reports. We can trust them. Can’t we? They already said we will not go bankrupt. If we do, they will already have been long, long gone with their fat, fat bonuses from the scene to take any responsibilities.

  7. #7 by sheriff singh on Friday, 24 August 2012 - 11:19 am

    Don’t worry. There is always the IMF or capital controls. Mahathir and Nor Mohammed are still around to skrew anybody and everybody up.

  8. #8 by HJ Angus on Friday, 24 August 2012 - 2:26 pm

    When the government makes such imaginative deals, someone in the Finance Ministry need a serious check-up!

    http://malaysiawatch4.blogspot.com/2012/08/genting-power-assets-sale-sensible-deal.html

  9. #9 by monsterball on Friday, 24 August 2012 - 3:16 pm

    Malaysia is heading towards bankruptcy if we do not change the government.
    Mahathir has confirmed… UMNO b is a devilish party.
    His tongue twisting snaky ways has made him a clown.

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