By KINIBIZ
On Friday afternoon, the prime minister tabled Budget 2016. His challenge? Managing government revenue hurt by plunging oil prices while striking a balance between fiscal responsibility and continuous economic growth.
The Budget itself was largely unremarkable, repeating a number of past pronouncements. A closer look, however, and there emerges a sense that this seemed to have been a budget designed for election, remarked one economist.
Goodies – some RM29.2 billion for development, to be exact – for now-politically crucial Sabah and Sarawak? Check. Pay bump for civil servants? Check. Extra BR1M payouts? Check. More affordable housing and other relief measures for the poor and middle income group? Check.
While in itself these are good news for the rakyat, one cannot help but wonder on these measures against the context of looming Sarawak state elections as well as political considerations concerning East Malaysia amidst recent controversies surrounding the prime minister.
Throw in the point that a no confidence motion against the prime minister was filed this week and more question marks arise. Will Budget 2016 goodies really strengthen the prime minister’s political position, however? That remains to be seen.
In any case, here are some of our best news, analyses and comments over this past week for your reading pleasure:
All about Budget 2016. Fresh after the prime minister’s speech on Friday afternoon, KINIBIZ presents the highlights of the Budget and the latest economic report as well as immediate reactions from federal ministers, corporate captains, economists and other industry players in a compilation of articles:
Budget 2016 highlights.
Budget 2016 reactions.
Can Bank Negara sue 1MDB? The law indicates that Bank Negara can still take some action against our self-styled strategic development company 1MDB, despite the attorney-general’s refusal to prosecute. Just how much and what can it do? Read all about it here as we look at the relevant laws.
Are tolls sanctioned highway robbery? The recent toll hikes had been painful for motorists grappling with rising living costs. With an interesting, colourful history, it may be in history too may lie the eventual solution to the problems of tolls in Malaysia. Read here.
Buddies in business. Up-and-coming homegrown casual wear label Pestle & Mortar was founded by three high school friends who knew nothing about the fashion business. How did the label come to be and how did its founders overcome their early struggles? Read all about it here.
Can one Syed Mokhtar own too many ports? Low-profile tycoon Syed Mokhtar Al-Bukhary has finally laid his hands on NCB Holdings Bhd which owns one of the two main container ports in Port Klang. This adds to the list of his port assets, controlling all container ports in the peninsula but one. Alarm bells, anyone? Read here.
Time government tightened its own belt. Over the past few years the government has called on the people to tighten their belts and spend more prudently. High time the government takes its own advice vis-a-vis its operational budget given plunging oil prices have hit government revenue. Read further here.
Throwing good money after bad? Life Inspired, soon-to-be wholly-owned subsidiary of Star Media Group, raises a warning flag. Why is there such a disparity in value for two halves of the same company – RM35 million for 51% in 2011 yet only RM6.26 million for the remaining 49% this year. What gives? Read here.
No need for EPF scheme to buy computers. The National ICT Association of Malaysia (Pikom) has proposed the revival of the EPF computer scheme where members can withdraw their savings to purchase information and communications products and services. Is this a good idea? Of course not. Read here.
If you like what you read, don’t miss this excellent deal: At a promotional price of RM318 per year (that’s just 87 sen a day), you can have full access to KINIBIZ online for your daily dose of business updates plus a free copy of our fortnightly KINIBIZ magazine. Click here.
Because whether you prefer online or print, morning coffee tastes so much better when you have the sharpest reads in town to sip to – for a sweet deal at that.
— By Khairie Hisyam Aliman, News Editor
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