KUALA LUMPUR – The year 2021 is a time for all parties to set aside their differences, and particularly, for policymakers to focus on how they can best meet the needs of the rakyat and businesses, said Datuk Seri Tengku Zafrul Tengku Abdul Aziz.
In his article published on The Star portal today, the finance minister said all parties must heed the lessons from last year’s crises, especially the Covid-19 pandemic, to emerge stronger.
“History has taught us to stand united in the face of adversity. There is so much room for our beloved nation to grow, especially considering how we have prevailed through one of the toughest years in our 63-year nationhood.”
He expressed optimism about Malaysia’s future prospects, taking into account the resumption of business activities, positive developments in the roll-out of Covid-19 vaccines globally, and Putrajaya’s efforts to revitalise and reform the economy.
“We have stood strong in many public health battles, but we must continue to persevere in order to win the Covid-19 war. We have flattened the curve once, we can do it again.”
He said 2020 was a difficult year for many, and the RM55 billion fiscal injection by the government through its stimulus packages aimed to help ease the burden on low-income folk and vulnerable groups, with RM18 billion of the sum channelled as Bantuan Prihatin Nasional, above and beyond the RM4.74 billion Bantuan Sara Hidup distributed the same year.
Realising that recovery will take time and 2021 may not be any easier, he said, the government continues to alleviate the public’s burden through Budget 2021, which allocates RM30.8 billion as targeted assistance, direct aid, subsidies and other forms of support.
“I would also like to stress one well-acknowledged fact in economics: policy is about trade-offs, and about trying to deliver the most benefit with existing resources.
“As much as some like to compare Malaysia’s efforts against other countries’, we must acknowledge that each country has its own socio-economic dynamics and characteristics, requiring its own unique solutions.”
One reason why Malaysia has managed to weather the coronavirus shock is its well-diversified economy, he said.
Tengku Zafrul said last year, growth in key manufacturing and export sectors, like medical equipment and electrical and electronics, helped cushion the blow to the services industry, especially given that international borders stayed closed.
“From January to September 2020, Malaysia recorded RM109.8 billion worth of approved investments, with RM42.6 billion in foreign direct investments. The government remains focused on high-quality investments that can translate into knowledge transfer, high-paying jobs and more sustainable development for Malaysia.”
Still, he said, the nation’s economic strengths remain largely untapped, including an agricultural prowess that can be upscaled through agritech, crop diversity and downstream development.
“We have yet to ramp up our expertise in green technology, such as solar panel production and green building. We have the capabilities to be a key player in global Islamic finance and the US$1.4 trillion (RM5.6 trillion) global halal market.”
As the country continues to pivot towards high-value production and services, it is crucial to leverage the virus crisis and undertake the necessary structural improvements, he said.
“We must never waste a good crisis, and must be prepared to reinvent ourselves to ensure future agility and resilience amid constant uncertainties.” – Bernama, January 2, 2021