PM must lay the foundations to achieve his new year promises

By Dr Chen Man Hin, DAP life adviser

PM Najib’s new year promises cannot succeed without first laying the foundations of real reforms.

In his new year message, the Prime Minister announced for the new year 2010, his government would achieve a high income economy for the people with the help of a NEW ECONOMIC MODEL AND BUILDING A RESERVOIR OF HIGHLY QUALIFIED PEOPLE TO MOVE AND MAN THE NEW ECONOMY.

These are stirring words, but the promises will remain a dream, because the Prime Minister has not laid the proper foundations for a New Economy.

The first step he should take is to LIBERALISE THE ECONOMY in the manner that China and the Four Asian Tigers have liberalised – which is a Free Market economy. A free market means there will be no regulations to hinder investors to come to Malaysia or stifle the ambitions of local businessmen.

The Prime Minister declared that his reforms will only impose a 12.5% bumiputra quota unlike the previous 30% of the NEP. Unfortunately, both foreign and local investors have not responded favourably, and FDIs (foreign investment inflows) are only a trickle. Foreign investors prefer to put their money in Indonesia, Vietnam and Singapore.

Other restrictions which discourage foreign investors are, despite what PM says, atill there – the old NEP structure, the tens of thousands of APs given out to UMNO cronies, NO OPEN TENDERS and a second extravagent EXPOMATRADE CENTER. The old NEP culture is very much in existence, and are discouraging the entry of both foreign and local investors into Malaysia.

It is tragic to see that the Prime Minister is unable to bring in genuine reforms to attract foreign investors.


To achieve a high income economy, the present system of low wage manufactring must give way to large scale high tech industries. Foreign investors have the technology, and it is therefore vital to attract foreign investment.

They will come only if the prime ministers jettisons away the NEP, cronyism, closed tenders, the APs and restricted procurement practices.


It is vital that high quality education to given to our students to ensure that the graduates are trully qualitifed in all the disciplines necessary for a new economy – business, accounting, lawyers, engineers, IT technocrats, and research scientists. These are the people we need for the industriesa and factories. The universities and colleges must be top class. It is no use producing poorly qualified graduates who later cannot find employment because they are unemployable.

The MSC (Multimedia Super Corridor in Cyberjaya) was planned to be a California ‘Silicon Valley’ bristling with high-tech industries. It failed but India succeeded to create a Silicon Valley of the East in Bangalore, because their colleges produced armies of qualified engineers and technologists.


The government announced in parliament that last year, over 300,000 Malaysians have emigrated overseas. This is a tremendous loss of vital human capital with skills and talent. Unless the Prime Minister produces fundamental reforms to democracy and good governance, hundreds of thousands of young Malaysians may continue to migrate for greener pastures — with disastrous effect on the economy.

  1. #1 by -ec- on Sunday, 3 January 2010 - 6:10 am

    nr’s new economic model will just be another nep. different name, different form but same substance.

    in order to support his 1malaysia slogan, the first line of his new economic model should read:


    if nr dares to include this as the first clause, my vote will go to him and bn.

  2. #2 by pulau_sibu on Sunday, 3 January 2010 - 9:30 am

    Do Indian Christians have family name? I saw Augustine Paul’s son is Alan John. There seems to have no family name.

    If he was a Christian, then why did he wear songkok? Look at this photo

  3. #3 by boh-liao on Sunday, 3 January 2010 - 9:53 am

    d earlier we forget n give up Umno B/BN d better 4 us n our descendants
    Things will get worse n worse under Umno B/BN
    1.1.2000: SGD 1.00 = RM 2.28
    1.1.2010: SGD 1.00 = RM 2.46
    If Umno b/BN rule M’sia 4 another 10 years
    1.1.2020, SGD 1.00 = RM ???
    Let’s hv a competition 2 C, in 2020, who has d best guess now
    2 start d ball rolling, my guess is SGD 1.00 = RM 2.70

  4. #4 by katdog on Sunday, 3 January 2010 - 9:54 am

    The BN government has been talking about moving to a high income economy since as far back as 2002. After 7 years, no progress has been made and they are still talking about it.

    And as far as i can tell, its still all talk. I don’t see the Najib administration coming up with any concrete plans on how to move to a high income economy.

    How can we move to a high income economy when 150 000 professionals leave the country every year? The lack of talent is one of the serious factors preventing Malaysia from progressing to a hi tech industry, yet so far no serious efforts has been made by the government to tackle this issue.

    How can we have a high tech, high value economy when our broadband cost per byte of data is the MOST expensive in the region and our maximum speeds are actually slower than Thailand?

  5. #5 by ktteokt on Sunday, 3 January 2010 - 10:43 am

    This is what the Chinese calls “Wanting the horse to run but not wanting the horse to eat grass”!

  6. #6 by Bigjoe on Sunday, 3 January 2010 - 11:02 am

    The assumption is WRONG! The PM don’t have to fufill his promises – At least not anytime soon. Malaysian PM wields way too much power and have way too much leeway. He is a chosen Sultan from an elected mornachial system.

    It is not Najib’s intention to fufill his promise. His goal in reality to to fool as many people as he can and control as many people as he can. Those he can’t fool or control, he hope he can just ignore them. Under him lying has moved from just another tool of UMNO to the MAIN TOOL.

    Do people believe he does not know Khir Toyo is generating lies and conspiring to use underhanded tactic to topple PR. Do people believe he is not sanctioning all those lies and misdeed by the police, judges, MACC, civil service? Do people believe he really did not know about the two engine being stolen during the time he was Defense Minister? Of course he does.

    Najib is very comfortable being dirty in politics and pretend he is above it all. In fact, he is too comfortable and that is his achilles heel. Sooner or later, it will come out and he has to scramble to cover up like he has done all his career. Sooner or later it will be clear he can’t cover all of it up..

    Najib’s downfall is eventual, the issue is the price we have to pay for it and it could be very heavy…

  7. #7 by k1980 on Sunday, 3 January 2010 - 11:20 am

    1malaysia? Then why

    2 types of citizens, bumis and non-bumis?
    2 types of university entrance, matriculation and STPM?
    2 types of economy, for NEP-holders and non-NEP holders?

    Please explain.

  8. #8 by yhsiew on Sunday, 3 January 2010 - 11:22 am

    in order to support his 1malaysia slogan, the first line of his new economic model should read:


    Najib is unlikely to take up this challenge as he does not want to lose support from the Malays who make up 60% of the population. He will lose his position as president of UMNO if he abolishes the NEP.

  9. #9 by ekans on Sunday, 3 January 2010 - 12:17 pm

    Remember that story ‘The Emperor’s New Clothes’?
    Is our very own ’emperor’ also getting ‘new clothes’ made for the new year 2010?

  10. #10 by frankyapp on Sunday, 3 January 2010 - 4:15 pm

    ///PM NR in his new year message announced for the new year 2010 that his government would achieve a high income economy for the people with the help of a new economic model and building a reservoir of highly qualified people to move and man the new economy/// But PM must lay the foundations to achieve his new year promises /// Dr. Chen Man Hin. Frankly speaking ,yes NR can lay some pretty good foundations BUT I think he has big big problems implementing them.You see guys to implement good things,first you need a pair of clean hands.Does NR has them ?.Moreover,how many umnoputras/warlords have clean hands too ?.Any of you guys can remember the chinse saying ” TO HAVE CLEAN HANDS,TO KEEP HANDS CLEAN ” .Therefore my conclusion is just old wine in new bottle.

  11. #11 by Winston on Sunday, 3 January 2010 - 4:15 pm

    Najib’s downfall is eventual, the issue is the price we have to pay for it and it could be very heavy… – Bigjoe

    Don’t worry, when the time comes, he and his cronies will be made to pay an equally heavy price!!

  12. #12 by Onlooker Politics on Sunday, 3 January 2010 - 5:10 pm

    Dr. Chen I think you are just wasting your time here asking Najib to keep his promises.

    If Najib really has to keep his promises by requiring a true reform to be implemented within the whole system of Federal Government and within Umno itself, I think Najib himself will be the first one to be beheaded by the other Umno warlords. Why should you harper much hope on Najib when what the Rakyat want now is for Pakatan Rakyat to take over Barisan Nasional as the administrator of the Federal Government? Why don’t you spend some time on writing an economic proposal for Pakatan Rakyat state governments to implement now or in the future instead of wasting time on the incompetent Najib?

  13. #13 by boh-liao on Sunday, 3 January 2010 - 6:41 pm

    Yes, sooner or later, NR will go, replaced by MY or another Umnoputra
    No doubt abt that n he jolly well knows it too
    Like previous PMs, he is busy preparing 4 his comfy nest
    If AR Baginda can get RM540 million commission 4 d purchase of 2 subs
    N ARB is really a nobody in Umno
    What do u think ppl like MMK, AAB, NR n his first lady get 2 pocket? Peanuts?

  14. #14 by Onlooker Politics on Sunday, 3 January 2010 - 8:31 pm

    Allow me to make a good guess on how Najib’s New Economic Model shall work:
    1.) Award huge infrastructure projects to Umnoputra crony companies.
    2.) Approve huge loans to Umnoputra crony companies which have been awarded with infrastructure projects.
    3.) Crony companies paid handsome upfront commission to the power-that-be by siphoning out the company funds via a licensed money changer and the fund is being financed through bank borrowings.
    4.) Crony companies look up for foreign investors to have joint-venture in completion of the infrastructure projects and then sell a large portion of the company shares to foreign investors.
    5.) The joint-venture companies are permitted to do an IPO in Bursar Malaysia for completing a fund raising exercise, with some hidden shares being alotted to the power-that-be.
    6.) The treasury of the Federal Government continues to raise fund through sovereign bond issuance in the international market.
    7.) The crony companies as the main contractors are being paid the contract sum using the fund raised from international bond market by the Ministry of Finance with the engineers from the Public Work Department blindly putting their signatures on the certified claims of work done.
    8.) When the 13th general election comes, all the tangible assets of the crony companies will be disposed off and the ready cash in the crony companies will be siphoned out to foreign countries through a licensed money changer.
    9.) A new round of financial tsunami will begin, with the crony companies declaring bankrupt and the MOF declaring the Federal Government’s failing in fulfilling the immediate financial obligations of the Federal Government.
    10.) The armed forces come in to take over the reign in a chaotic situation.

    The new economic model sounds to be workable to the Umnoputras in the long run! But in the future does Muhyiddin Yassin seem to be capable enough to command the armed forces when Najib is to go relax and retire in the sweet home built in a foreign country?

  15. #15 by boh-liao on Monday, 4 January 2010 - 12:19 am

    We may C d modes operandus of MMK n his blue eyed boys, Daim, Tajudin, Vincent, etc
    Reenacted by NR + RM n their blue eyed cronies

  16. #16 by undergrad2 on Monday, 4 January 2010 - 8:03 am

    Is that doctorate an honorary doctorate? If so Chen Man Hin should not be using those letters.

  17. #17 by Godfather on Monday, 4 January 2010 - 9:18 am

    Najib will do well to ensure that the new model doesn’t come from Mongolia.

  18. #18 by taiking on Monday, 4 January 2010 - 11:23 am

    Wots wrong with mongolian models? They can be seefoured when they are no longer able to serve their purposes. Easy, man. Clean. And above all, quick disposal.

  19. #19 by Onlooker Politics on Monday, 4 January 2010 - 11:45 am

    “Is that doctorate an honorary doctorate?” (undergrad2)

    Is it really important that Dr. Chen Man Hin must hold a degree in PhD. in order to talk about economic policy?

    For your information, Dr. Chen Man Hin was the former National President of DAP. He owned a medical clinic at Jalan Tuanku Munawir, Seremban. He was a philanthropic person who often provided free medical services and free medicines to the poor and the needies. He was elected for many terms as the MP of Seremban.

  20. #20 by Onlooker Politics on Monday, 4 January 2010 - 12:14 pm

    “Wots wrong with mongolian models?” (taiking)

    Nothing should be wrong with mongolian models but the problem is: it is quite difficult to get pass from Rosie for mongolian models!

    In fact, Najib should not have mentioned anything about the word “Model” because it is too sensitive and too harsh ear to Rosie. Worst still, it is going to be a “New Model”! Does it mean that the old ones should be abandoned?

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