Latest news with #Anwar
Sinar Daily
24 minutes ago
- Business
- Sinar Daily
Malaysia's leap in competitiveness, investments reflect strong investor confidence, economic resilience
SHAH ALAM – Malaysia's impressive 11-spot leap to 23rd in the 2025 World Competitiveness Ranking (WCR), coupled with Shell's commitment to invest over RM9 billion in the coming years, is widely seen as a strong affirmation of the country's growing attractiveness to investors, despite ongoing global economic challenges. Economists welcomed these developments as clear indicators that the Madani Government economic framework is beginning to bear fruit. They pointed to the government's focus on fiscal reform, long-term economic stability and inclusive growth as key factors behind this renewed investor confidence and improved global perception of Malaysia's economic direction. Economist and Putra Business School Business Administration Programme Director Associate Professor Dr Ahmed Razman Abdul Latiff said these indicators were highly encouraging, particularly given the current global uncertainties. 'I view these recent developments as highly encouraging, particularly given the challenging global economic environment Malaysia is currently navigating, including potential tariff hikes from the United States (US). 'Despite such external pressures, Malaysia's significant improvement in the 2025 WCR and Shell's RM9 billion investment signal that investor confidence remains robust. "This affirms Malaysia's standing as a preferred investment destination, bolstered by our political stability, strong growth potential and increasing competitiveness," he told Sinar Daily when contacted. Razman credited the government's fiscal reforms, especially subsidy rationalisation and deficit reduction efforts, for improving efficiency and laying the foundation for long-term sustainable growth. These measures, he clarified, help curb wastage and enable better resource allocation. 'The Madani government's commitment to sustainability, resilience and inclusivity is evident in its initiatives to reduce inequality, raise household incomes through better wages and manage the cost of living. 'When such efforts are effectively implemented and truly benefit the population, they help preserve social cohesion. This stability, in turn, enhances Malaysia's attractiveness to investors," he added. Razman also cited the importance of creating high-skilled jobs as a key strategy to address income inequality and job mismatches. He described that aligning individuals' skills with the right employment opportunities not only improves their livelihoods but also boosts domestic consumption and overall economic activity. However, he cautioned that public perception plays a critical role in the success of these reforms. To ensure citizens recognise the benefits, he stressed the need for clear and effective communication. On June 18, Anwar (right) confirmed Shell CEO Wael Sawan's (left) pledge to invest over RM9 billion in Malaysia within two to three years. Photo: Anwar's Facebook page Malaysia Airports Holdings Bhd (MAHB) Chairman and economist, Dr Nungsari Ahmad Radhi echoed similar sentiments, noting that Malaysia's rise in the global rankings was a sign that the Madani economic framework was producing results. 'Malaysia's recent rise in the 2025 WCR is a highly encouraging development, especially given today's uncertain global environment. "It signals that the Madani economic framework is beginning to deliver tangible results. 'Since the index assesses economic performance, government and business efficiency and infrastructure, our improved ranking reflects progress across all these areas," he said. Nungsari said that fiscal reform must remain a top national priority and emphasised the importance of public understanding of the rationale behind such reforms. Strengthening Malaysia's fiscal position, he added, inevitably involves making difficult decisions, whether through spending cuts, reallocations, or revenue increases. It is therefore crucial for the public to grasp why these measures are necessary. He cited the Fiscal Responsibility Act 2023 (FRA) and the ongoing subsidy rationalisation efforts as key components of these reforms. According to him, such initiatives are vital to preserving Malaysia's sovereign credit rating, which in turn helps to keep the country's borrowing costs manageable. 'In the context of the Madani administration, sustainability is fundamentally about fiscal sustainability. If we fail to protect our fiscal space, our ability to spend or borrow during a crisis, we risk undermining our resilience. 'Our companies must look toward larger markets, particularly across Asean. "At the same time, we must strengthen our workforce through upskilling and make it easier to do business. These efforts, collectively, will reduce income inequality and build a more inclusive economy," he added. On June 18, Anwar (right) confirmed Shell CEO Wael Sawan's (left) pledge to invest over RM9 billion in Malaysia within two to three years. Photo: Anwar's Facebook page Economist and Director of Williams Business Consultancy Sdn Bhd, Dr Geoffrey Williams saw Shell's RM9 billion investment as a clear indication of long-term confidence in Malaysia's economic environment. He described the move as a welcome development, noting Shell's decades-long relationship with the country. 'In many ways, such enduring partnerships speak more meaningfully to the strength of Malaysia's economic environment than short-term fluctuations in metrics like the WCR. 'From a macroeconomic standpoint, the Malaysian economy is performing well. Growth remains strong, inflation is stable and the financial system is sound. The country's fiscal position, particularly regarding debt and deficit levels, has stabilised," he said. However, Williams pointed out that despite Malaysia benefiting from decades of foreign direct investment, these investments have yet to significantly translate into the creation of high-skilled jobs or meaningful wage growth. He argued that the existing wage-setting mechanisms have failed to distribute the benefits of the country's development fairly. 'The system has not effectively channeled the gains from economic development into salaries, upward mobility, or reduced income area that clearly needs reform. 'While there is still considerable work to be done to achieve lasting improvement, the path forward is clearer with the proper implementation of the Medium-Term Fiscal Strategy (MTFS) and the Fiscal Responsibility Act (FRA). "Alongside these efforts, continued focus on reducing wastage, leakages, and corruption remains essential. In this context, subsidy rationalisation is a key tool and progress has already been made in areas like electricity and diesel subsidies, with RON95 fuel reforms expected in the near future," he said. Williams affirmed that the Madani framework is grounded in strong principles and holds the potential to bring real benefits to the public while promoting long-term economic development—provided it is implemented effectively. However, he pointed out that a major challenge lies in the way these benefits are identified and communicated. 'Both areas need considerable improvement to ensure the public can fully understand and feel the impact of the initiatives under the framework,' he said. On June 18, Prime Minister Datuk Seri Anwar Ibrahim revealed that Shell's Global Chief Executive Officer (CEO) Wael Sawan had pledged to invest over RM9 billion in Malaysia within two to three years. The announcement came after a courtesy call on the Prime Minister following his engagement at Sasana Kijang. Anwar described the investment as a commitment to creating high-skilled jobs and a reflection of Shell's long-standing trust in Malaysia's direction under the Madani government, which he said was built on stability, sustainability and long-term resilience. Malaysia also rose 11 places in the 2025 WCR, from 34th to 23rd—a rare and significant improvement. Malaysia University of Science and Technology (MUST) economics expert, Professor Emeritus Dr Barjoyai Bardai said the jump reflected a strong recovery, driven by prudent fiscal policy, targeted subsidies and growing investor trust. While the effects may not yet be fully felt by the public, he predicted they would translate into higher incomes and more job opportunities in the medium term.
Daily Express
an hour ago
- Business
- Daily Express
Debt reduction key to investor confidence, says Anwar
Published on: Friday, June 20, 2025 Published on: Fri, Jun 20, 2025 By: Anne Muhammad, FMT Reporters Text Size: Putrajaya brought the deficit down from 5.5% in 2022 to 5% in 2023, and 4.1% last year. PETALING JAYA: Prime Minister Anwar Ibrahim today reiterated the government's commitment to gradually reducing the national debt while ensuring continued development and investor confidence. Speaking at the finance ministry's monthly assembly in Putrajaya, Anwar said continuous efforts had been made since 2022 to bring down the country's fiscal deficit from 5.5% to the latest projection of 3.8% this year. Advertisement 'Some people ask why we are so focused on reducing it. They say we should just give more to the people. But without this effort, there will be no (investor) confidence,' he said. Anwar, who is also finance minister, added that investor confidence would translate to investments, which could help raise the national revenue, provide job opportunities, and contribute to the nation's overall development. Putrajaya brought the deficit down from 5.5% in 2022 to 5% in 2023, and 4.1% last year. The Treasury had said this would slow the growth of the national debt with a drop in new government borrowings each year, from nearly RM100 billion in 2022 to RM92.6 billion in 2023, and around RM77 billion last year. Advertisement Anwar also dismissed claims that the government's debt reduction efforts had compromised public welfare, saying the approach should be seen as a long-term strategy. 'Since we took over, the debt has been reduced by RM20 billion. 'It's like someone inheriting a company after his father passes away. The company owes RM50,000. The son can't be expected to settle the debt in a year – it has to be done in stages,' he said. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
Daily Express
an hour ago
- Business
- Daily Express
No more imported food at official events, Anwar tells civil service
Published on: Friday, June 20, 2025 Published on: Fri, Jun 20, 2025 By: Bernama Text Size: Prime Minister Anwar Ibrahim urged civil servants and officials to be more mindful of the need to support homegrown produce. PUTRAJAYA: Prime Minister Anwar Ibrahim has directed all government departments to cease using imported goods, particularly food, at official events, in a bid to promote local products. Speaking at the finance ministry's monthly assembly, Anwar said that using local produce would not only bolster the local economy but would also open wider opportunities for local farmers to market their goods. Advertisement 'If every government department follows this directive, it will create more opportunities for our farmers to supply local food ingredients,' he said. The prime minister also cited the example of neighbouring countries whom he said were committed to using local food products at all official functions. 'In Laos, Vietnam, and Thailand, I've never been served imported food at any government-hosted official event. It's automatic for them to ensure that only local food is served,' he said. Anwar also criticised the preference by some parties for imported food products despite the government's clear stance. Advertisement Calling the practice inconsistent with efforts to empower the local economy, he urged civil servants and officials to be more mindful of the need to support homegrown produce. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
India Today
2 hours ago
- General
- India Today
Empty classrooms: No new enrolment for third year in Telangana government school
Is a school really a school if there are no students and no classes? That is the story of a government school in Telangana's Khammam district, where a once-thriving Zilla Parishad High School hasn't seen a single student enrolment this academic school in question is located in Astnagurthy village (also known as Asnagurthi), in Wyra Mandal, about 38 km from Khammam district headquarters. The school, which is about 193 km east-southeast of the capital Hyderabad, is now facing an existential crisis — the disturbing trend of no new enrolment since the past three years having three teachers, including a headmistress posted at the school last year, not one student showed up. Teachers would attend school daily, only to return without conducting a single class. Eventually, they were deputed to other schools while continuing to draw their salaries under the Astnagurthy school's payroll. This year, the situation remains unchanged. Over the past week, the three posted teachers have been regularly attending the school and returning home each day, even though no students are on the rolls. Their salaries range from Rs 80,000 to over Rs 90,000 per month, costing the government nearly Rs 3 lakh per month — and over Rs 40 lakh annually — to run a school without students.A ONCE-CROWDED SCHOOL NOW DESERTEDThis institution, established in 1976, once served as an educational hub for 10–15 surrounding villages. During the 1990s, more than 1,000 students studied here. In fact, gaining admission used to require recommendations due to high over the years, numbers dwindled drastically. Parents began favoring private schools, and the government itself promoted residential educational institutions like Gurukuls. These factors led to a dramatic fall in despite being equipped to teach students from classes 6 to 10, and requiring at least 11 teachers for full-fledged operations, the school is being run with just three teachers — and not a single SUPPORT SCHOOL BUT IN VAINIronically, several former students of the school have gone on to become government employees and NRIs. A few of them, nostalgic about their school days, donated 20 computers, a TV, and furniture to support the school's revival. But their goodwill has yet to attract a single villagers, including Hari Koteshwer Rao, expressed frustration, stating that the lack of adequate teaching staff in recent years pushed parents to send their children elsewhere. Anwar, a Hindi teacher, and Chandrashekar, a science teacher, echoed similar pointed out that earlier, the school had enough teachers to run all classes smoothly. But successive staff transfers and lack of fresh appointments led to a trust deficit among parents. As a result, the school fell into decline.
New Straits Times
3 hours ago
- Business
- New Straits Times
Anwar: Reforms paying off as Malaysia rises in global rankings
PUTRAJAYA: Prime Minister Datuk Seri Anwar Ibrahim today highlighted Malaysia's improving economic trajectory, citing robust growth, lower unemployment, and renewed investor confidence. He attributed these positive developments to a series of fiscal reforms and targeted policies, while firmly dismissing allegations of economic mismanagement by the government. Speaking at the Finance Ministry's monthly assembly, he said the latest data told a story of recovery, reform, and resilience. Malaysia has climbed 11 spots to rank 23rd in the 2025 IMD World Competitiveness Ranking — its highest position since 2020 — with notable gains in economic performance, government efficiency, and business competitiveness. The country's gross domestic product (GDP) expanded by 5.1 per cent in 2024, exceeding the 3.5 per cent recorded in 2023 and surpassing official projections. The unemployment rate fell to 3 per cent in April 2025 — the lowest in a decade. The ringgit also posted significant gains, emerging as one of Asia's top-performing currencies. It appreciated by 5.2 per cent against the US dollar and strengthened against regional currencies such as the Indonesian rupiah and Chinese renminbi. Anwar said that Malaysia's fiscal reforms had received commendation from the International Monetary Fund (IMF), which described the Fiscal Responsibility Act 2023 as a major milestone. The fiscal deficit has been reduced from 5.5 per cent in 2022 to 4.1 per cent in 2024, with a target of 3.8 per cent for 2025. Federal borrowing has also decreased, with new debt issuance falling from RM100 billion in 2022 to RM85 billion in 2024. This, Anwar said, had enabled the government to sustain public services while maintaining fiscal discipline. He stressed that the reforms were undertaken without placing undue burden on the public. The government had broadened the tax base and restructured subsidies to ensure more effective support and service delivery. Eighty-five per cent of households were unaffected by electricity tariff adjustments, while diesel subsidies for logistics vehicles were maintained to prevent a knock-on effect on prices. Inflation remained contained at 1.8 per cent in 2024. The adjustment to the Sales and Service Tax (SST), effective from July 1, excludes essential goods. Analysts have forecast only a marginal inflationary impact of 0.25 per cent. With improved fiscal space, the government has been able to boost allocations for public assistance and essential services. A record RM13 billion was channelled to the SARA and STR cash aid programmes this year, benefiting nine million recipients. Funding for education and healthcare was also raised to RM64 billion and RM45 billion, respectively. "This nation inherited a burdensome fiscal structure — ballooning debt, a narrow revenue base, and untargeted subsidies that disproportionately benefited the wealthy and foreign nationals. "Whether we liked it or not, reform was essential. Since the Madani government took office, we have embraced bold, corrective policies to restore our fiscal foundation and uplift the people's lives," he said.
