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YOURSAY | Transparency required on 12MP decisions

This article is 10 months old

YOURSAY | ’The government is prepared to double down on a wide range of reforms.’

12MP review: Govt doubles down on introducing targeted subsidies

E Kumar: This does not make any sense - government subsidies should be available to all Malaysians regardless, especially tax-paying Malaysians. 

Why are half the citizens of this country being singled out for no fault of their own?  

The high rate of poverty suffered by many Malaysians is the fault of the government and its inability to manage the wealth of the nation, even after 60 years of independence, despite all the resources and richness this country has to offer. 

We are not a small but major oil-producing nation, so why are we removing fuel subsidies for any Malaysians?

The merit of hard work shouldn’t be that a certain segment of citizens are deprived of equal benefits.

There are ways to help and assist the poor but this robbing Paul to pay Peter approach will not only further alienate current tax-paying Malaysians but leave a bad taste in most Malaysians' mouths, especially the majority of those working in the cities.  

Also, where is the incentive to progress as a nation when almost half the population will be given discounts that the balance half pays for?

There’s a reason why developed first-world countries have kept a distance from this approach that was first presented by the International Monetary Fund (IMF), a practice that probably makes sense for a lot of African nations but not for a country like ours.

No, the subsidy approach of countries with economies like Indonesia is not something we should be emulating here either.  

Removing subsidies from those who appear to be able to afford it sounds idealistic and fairy-tale-like, yes, and it panders to the poor, who sadly are a significant majority here in Malaysia.

Of course, the B40 and lower M10 will stand to benefit from this approach of selective subsidies, clearly, but why is the balance of 50 percent of the population being forced to pay for it?

If you want to target the rich to satisfy the poor, go for the top 10 percent, the multibillionaires. Tax half of their profits and give that back to the poor.

This is far more effective than removing subsidies from half the country.  

Assist the hardcore poor through government aid, such as food and grocery vouchers or coupons, increase welfare aid by taxing the rich, or partake of similar practices applied by developed nations in handling poverty.

This is a far more effective way to assist the poor and manage the nation’s income.  

Providing subsidies to only half of Malaysians by removing subsidies from the balance is just an easy way out of a complex situation and this will have a hard-hitting impact on the economy and the future of the nation.  

Hope this government takes a bit more time to think this through and not bulldoze an election promise for populist reasons.

Koel: The citizens have cause to be concerned because if the initiative ends up as more gross generalisations on a racial basis, this could end up as another discriminatory racist measure.

For example, the government’s tendency to use broad strokes to classify urban as rich and rural as poor, as well as the age-old racist chatter of most bumiputera being poor and all non-bumiputera being rich fails to capture the realities on the ground.

Using some wealthy men like Robert Kuok (someone who is not even in the country anymore) and Ananda Krishnan as examples to show that all non-bumiputera are wealthy are some of the most asinine comments in politics.

This idiocy is also sometimes supported by sycophantic “academics” and armchair “researchers” happy to provide false race narratives to the detriment of the nation.

So we hope some transparency is provided in how the government arrives at these targeted decisions.

If you are using outdated data and methodology perpetuated from some 60 years ago, which fails to capture the realities, it would be an injustice.

Realities such as the possibility that Umno politicians are probably amongst the wealthiest persons in the land, but that many of them appear to be well schooled in hiding their money.

PurpleGopher1703: I believe this is yet another inefficient scheme where the cost to implement will far outweigh the potential savings.

On top of that, people who really could benefit from the subsidy will not benefit because they are either too poor, illiterate, or live too remotely.

The process of compiling, managing, coordinating, disseminating, reviewing complaints, and so on will involve many unnecessary work hours.  

Is it not much simpler to let the so-called rich enjoy the tiny savings in fuel when they have been paying tens to hundreds of thousands in income tax, company tax, or indirect tax collection for jobs they created?

The real leakage is at the borders where subsidised fuels and other items make it into Thailand.  Let’s pray and hope that in years to come this does not evolve into yet another bumiputera-only subsidy.

Fair Play: “Double down” are strong words to use.

The government is prepared to double down on a wide range of reforms.

I believe the unity government is finally walking the walk, but they are elegantly silent on the source of funds.  

As they say. No money, no talk. But I believe the government is into something really big but they are not prepared to keep the rakyat informed - not just yet.

Vgeorgemy: As a starting point, the targeted fuel subsidies can be based on the type of vehicle, irrespective of the owners’ wealth, till the national data bank captures all the relevant data.

The state is responsible for affordable and convenient transportation to all its citizens for mobility and inclusive governance.

The petrol station charges the full price to the consumers but the targeted subsidy will be credited to the convenient e-wallets or bank accounts immediately after the fuel filling.

The e-coupon system can be uploaded to MYKad for individuals without banking accounts.  

The government must share the wealth and prosperity with its citizens instead of spending millions in consultancy fees to produce glossy reports.

Cyclonus: Should double down on the ultra-rich who have devised various ways to escape paying for petrol and electricity by charging the companies or the government.

Those who work hard and climb the ranks of their career are being “reprimanded” for being successful through merit and hard work.

The tax bracket should be adjusted for those who are outliers of the mean income.

WhiteMoose0037: Double down on corruption.

Double down on Prime Minister Anwar Ibrahim utilising planes and helicopters even though government property and costs incurred by taxpayers.

Double down on wasting time arresting opposition members but not following through with their court cases.

Double down on the already bloated civil service just to find employment for jobless graduates.

I can go on and on, but I will stop here.

Budak Kampung Madani: Until this government can show with 100 percent transparency, that every single sen of the subsidies being cancelled is going to a good cause (instead of someone's pocket), the rakyat will be firmly against this clawback.  

If the Madani government continues to push this effort through and does not provide clear answers for hot issues like the Ahmad Zahid Hamidi’s discharge not amounting to an acquittal, we can only wish Pakatan Harapan good luck at the next general election.

VioletKijang9137: Goods and Services Tax (GST) is the solution - and return allowances to the needy based on household income.

That's how most advanced economies tackle the problems.

Those who spend a lot and have zero income and who want to claim the GST allowance would have lots to explain, so naturally they will refrain from doing so. Problem solved.

Anonymous: Do away with pensions for ex-ministers, MPs, and state assemblypersons.

Unless they’re unemployed or have no other income, they should not be expected to be paid when their term is over.

By the way, I wonder how much former prime minister Dr Mahathir Mohamad is receiving as a monthly pension plus the amount he was paid as gratuity.

Was he paid gratuity twice?


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