Tan Sri Ramon Navaratnam says the mid-term review of the 12th Malaysia Plan (12MP MTR) by Prime Minister Datuk Seri Anwar Ibrahim is good, meaningful, and relevant.
However, the veteran economist wonders where the government will find the funds to implement the initiatives under the 12MP MTR, themed ‘Malaysia Madani: Sustainable, Prosperous, and High-Income’ that will see government spending increase by RM15 billion, to RM415 billion.
Navaratnam hopes the government will put the right people in charge of the funds to ensure that the money goes to those who need it.
“The government has no alternative but to increase spending to aid the country’s growth,” said Navaratnam.
“I am heartened that the prime minister also put much thought towards ending extreme poverty. My only fear is the money will not reach the targeted groups.
“We have a history of leakages and corruption, which has resulted in the people who should benefit from these programmes, not getting the help they need.”
He said he was hopeful that the current government would learn from past mistakes.
The increase in the budget will see the government spending RM90 billion from 2023 until 2025, focusing on basic infrastructure for the people.
Part of the budget is to upgrade 1,200 clinics nationwide and speed up the first phase of the upgrading works at the Sultanah Aminah Hospital 2 in Johor.
To help end extreme poverty, the government has allocated RM1.5 billion for programmes to improve household income, and RM346 million to attract youths to pursue creative activities that offer high salaries.
The government will also spend RM209 million to help youths venture into the manufacturing sector.
The government had previously announced several agreements, and signed memoranda of understanding with several countries, including China, but Navaratnam said that nothing had come out of them.
“Hopefully, those deals come to fruition soon,” said Navaratnam, a former deputy secretary-general of the Treasury.
“Overall, the budget appears good, meaningful, and relevant. But we must monitor it closely to ensure it is sustainable.”
Navaratnam expressed disappointment that there were no significant changes to attract foreign investment into the country.
“It is a competitive world, but we do not build enough competitiveness in the system to stop these companies from going to Vietnam, Cambodia, and other neighbouring countries,” he said.
“This is something I hope the government will look into. We need to make Malaysia an attractive destination for these companies,” he added.
