Najib Razak / Umno & Barisan Nasional

Malaysian Budget 2012

At 4.05pm Dato Sri Najib Tun Razak took the microphone and spoke about the Budget for Malaysia in 2012.

He started with the historical background of development in Malaysia since independence.

It is not a government that over promises but a government “yang saban hari memikir, merancang dan melaksanakan..” the country’s development.

After 53 budgets, and several national policies since independence, Najib today continues with the policies that had been successful and will propel Malaysia to be more progressive with a functioning democracy.

Key points:

– FDI increased to RM21.2 billion in the first 6 months of 2011.

– International reserves is at RM414 billion on 15th September 2011 and can finance up to 9.5 months of import

–  Out of the whole budget, 78% (RM181.6 billion) for administration, 22% (RM51 billion) for development. Total RM232.6 billion.

– Private Financing Initiative (PFI) will be initiated to built infrastructures (schools, hospital, low cost housing etc) totalling RM6 billion.

– The theme is “Belanjawan Membela Rakyat, Mensejahterakan Negara”

– 17 more service sub-sectors will be liberalised – dentistry, architect, accounting, etc whereby foreign equity up to 100% will be introduced.

– From the years 2011 to 2020, the policy “Dasar Transformasi Nasional” is introduced and will be used.

– Few highways, and projects will be developed in all 5 economic corridors introduced in the previous administration.

– Sukuk; Malaysia introduced world first Sukuk Wakala at USD2 billion and was over subscribed 4 times in 2011 with tax exemptions for any issuance in 2012.

– Felda Global Ventures will be listed. A co-operative where all Felda settlers will get dividends which will be announced soon.

– Sincere and hardworking entrepreneurs will be given 2nd chance if their businesses fail. RM100 million will be provided under Entreprenuer Revitalisation Fund operated by SME Bank.

– Franchising by local companies can improve the economy. Tax cuts will be given to these local franchisees.

– Exemptions from import duties and excise duty for hybrid cars importers till 31 December 2013.

– 70% tax cuts to all hotel operators for the next 5 years.

– Human capital development: Innovation will be the main impetus where R&D must be transformed into viable projects in private and public sector. 2012 is declared as Innovation Year with awards and other initiatives.

– Commercial Innovation Fund of RM500 million will fund companies with innovative products to help them market and produce. The Fund is syariah compliant.

– Knowledge is key in any civilisation or any developed nation. Education sector will be provided RM50.2 billion with extra RM1 billion to repair, build all schools.

– All fees for exams, co-curriculum, insurance for schools will be abolished in 2012 onwards. This means, education is now free for primary and secondary schools.

– Rural Transformation Program is set up to fund water electricity and roads

– Salary and pension revision upwards for civil servants and retirees.

– Civil servants are offered masters degrees and PHDs opportunities to further their studies on part time basis. RM80 million is allocated for this to improve their careers.

– Government will give a one off RM3,000 per person to all 4,300 contract workers

– Government will give a one off RM3,000 to ex-members of special and auxiliary police, including widows and widowers, covering 62,000 people to remember their contribution to the country.

– RM500 million of Army Care Fund to improve army camps etc.

– RM40 million allocated to increase Kedai 1Malaysia to all states.

– Ceiling price for affordable houses (First Home Scheme) will be set from RM220K to RM400K and will be developed by PR1MA (a government agency) in government lands. Husband and wife can apply in a joint loan scheme starting January 2012.

– To protect housebuyers, government will initiate a build and sell scheme for all houses priced at RM600K and below so that risks of stalled housing projects will not fall unto the buyers. Bank Islam will partner government for this scheme.

– Syarikat Perumahan Negara (SPNB) will build 10,000 housing units priced at RM45,000 in 2012.

– Expatriates in Malaysia increased to 41,000 in 2011. They can now start withdrawing money from EPF to buy houses.

– RM300 million will be allocated to build houses for fishermen.

– Puduraya has been upgraded at a cost of RM40 million. Kuala Lumpur General Hospital which is 141 years old will be upgraded at a cost RM300 million with a new wing for outpatients.

– Good news for doctors on call. RM600 per month for working beyond normal hours.

– Private budget taxi operators will get 100% exemption on duty excise on buying new taxi cars. No road tax for all budget taxi operators.

– Suspects with no money to pay defence lawyers will be provided with free defence lawyers.

– Government will provide training to women with potential to push them as company directors. RM10 million will be allocated.

– RM300 for small business as micro loans for women entrepreneurs.

– Discount for senior citizens to travel in LRT and monorail and no outpatient registration fee for them in hospitals.

– RM500 one off payment to household income Rm3000 and below to subsidise children school expenses.

– RM100 for all school children in primary and secondary through Bank Simpanan Nasional involving RM530 million.

– RM200 book voucher to all university students involving 260 million.

– Retiring age for civil servants to be increased from 58 to 60 years old

– Another half month bonus to all civil servants with RM500 for all pensioners. The previous half month bonus was paid last August.

“Perjuangan ini bukan perjuangan sehari, seminggu, sebulan mahupun setahun. Ia adalah perjuangan berdekad lamanya. Inilah sebuah bajet di bawah Dasar Transormasi Nasional diilhamkan demi rakyat. Kepada Allah jua kita berserah.”

Ends at 6.05pm.

So how does this budget compares to Pakatan Rakyat’s budget? I tweeted earlier that:

JMD
Be prepared to be nauseated by Pakatan tweets where they will gloat all the good things in today’s budget are copied from #BajetPR :p

And right on cue Anwar Ibrahim began lambasting the budget as a copycat of Pakatan’s budget. Story here.

But Eric Choo had put it succinctly in his tweet just now:

choows Eric Choo:

On 1 hand, they say it’s a copycat budget. On the other, they condemn it like it’s the worst sin committed. Are they slapping themselves?

 

There you go. Pakatan chasing its own tail trying to justify their relevance and existence vis-a-viz this Budget.

39 thoughts on “Malaysian Budget 2012

    • well i don’t think this is good….why they didn’t give all this to rakyat b4 this? y 2012? …give people money to getting vote?

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  1. thanks for the summary.
    but it is a bit stupid to spend RM 530 million, by giving each and every school children RM 100, and through BSN. Wouldn’t Amanah Simpanan Pendidikan be a much better forethought? Then the money can grow, yeah? Wouldn’t the RM 530million be better spent on infrastructure elsewhere?
    but then again, am venting here. thanks again for the summary!🙂

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  2. I have to say that this is a good budget overall but really none for those middle income earners.
    I feel more and more allocations are given to women but nothing has really changed. What about male SME entrepeneurs? They would need the help too as they are, afterall, the breadwonners of their families. Kind of unfair I
    have to say!

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    • Civil servants 1, private employees 0
      Women 1, Men 0
      Poor 1, Middle Income 0
      Future – Uncertain.

      Better rely on ourselves !!

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    • Not really true,

      We are the silent group contributing so much today and are being sidelined and or pushed aside for far too long. You will be surprised many of us are the main bread winners of a family. Today wives need to go out and earn not for the fun of it, but a necessity to help ease the family income – pay for the housing/cars/children education and to some extent, to help put food on the table.

      I was hoping due considerations given in this ‘caring’ budget to upgrade affordable and professionally managed child/elderly care facilities – (esp with all these nagging maid problems etc).

      How can one expect productivity when wives had to work 9to5, rush to the nurseries to send and fetch their kids or to clinics and hospitals if the kids are sick, cook, clean the house and some also taking care of for their elderly sick parents and in-laws? ( these sad silent whispers came from our group members).

      One can create all sorts of allocations (maybe may benefit those already very rich women), if these sad issue is not looked into, the struggling ones will find it hard to cope and progress.

      I am woman – I feel

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    • for sure la bro… give the civil servants money for what.. ? they getting high income every month la… ONLY civil servants is the rakyat?

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  3. Pingback: Opposition leaders criticise Budget 2012 | MALAYSIAN INSIDER - MALAYSIAKINI

  4. “Education is now free for primary and secondary schools” – that’s the best part. Brilliant and talented poor children will be given opportunities to excel and develop their potential.

    Thanks JMD for the bite-sized chunks of information.

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  5. Well, the question now is why suddenly there are a lots of goodies given out this time? It must be kinda “pressure” from PR. Should PR fail to shock BN during GE12, there is no way we can see all these goodies around. Therefore, lets maintain certain support to PR for the coming GE13 so that we can see the government is actually “thought” of rakyat anyway.

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    • Every year when there is budget, there will be goodies (except in 1997 when Anwar slapped us with IMF-ish budget). Some things that you are enjoying right now came from previous years budget. So, it is not due to PR. As Najib pointed out in his Budget speech, when Pakatan just a couple of months before came out with ‘Negara Kebajikan’, BN had already done and continuously doing it; with or without PR. Thank you.

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  6. Ah, thanks JMD. I just copied paste some stuff from here to support a freelance piece I am writing. Let me know if you need royalty,🙂 (you got my mail, I can post you my article kalau nak). Always a pleasure visiting your site, keep it up. Till the next one…

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  7. Sorry if off topic, JMD, but who puts this “Pingback: Opposition leaders criticise Budget 2012 | MALAYSIAN INSIDER – MALAYSIAKINI”, may I know.

    I come to blogs like yours to avoid the frequently wild, often unfounded, unsubstantiated, unjustified, sometimes even unexplained accusations by the Pakatan Rakyat goons in MI and M’kini and I’m afraid I can’t bear to be reminded of them when wanting some fresh air and read good comments in your blog. Especially on a subject involving economics that I’m not familiar about.

    The sickening thing about those Opposition blogs is that they won’t even publish our counter-comments. Damn.

    Good that MI was shut up and had to apologize in their blog and in the newspapers a few days ago “menggigil kena saman”, senyap a few days, before apologizing to ex-MAS boss Tajuddin Ramli.

    M’kini was of course warned by Home Minister Hishamuddin for quoting him wrongly some time back.

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  8. HE GENERALLY ADJUSTED THE GOVERNMENT SECTOR BUDGET(HIS OWN INCOME) BUT GIVEAWAY PEOPLE’S $ TO PEOPLE. MOST WELFARE SOUNDS FUNNY THAT DOESN REALLY BENEFITS THE LOW INCOME GROUP. LOLIPOP STRATEGIES ARE OBSOLETE..53 YEARS OF LIES…BN MUST DIE…..

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  9. wow..election budget indeed..nuff said….more budget on admin cmpared to development??huhu…i guess all those ridiculous imposition of interests on ptptn borrowers should be abolished then…just my opinion

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  10. It is good to extend the retiring age of civil servants from 58 to 60 for those healthy, productive & efficient group. What about those non-productive civil servants who are doing any work and receiving ” Gaji Buta” ?
    They should leave the civil service and give way to youngster!

    Like

    • RM100/student?
      As a mother and having to observe the current sad affairs of my kid’s school , with hardly any proper facility to promote group/class activities, I would have preferred if they utilize these fund to upgrade/introduce more facilities in schools instead.

      Take a school with 3K students @RM100 each, a whooping RM300K, could have utilized for any of these activities below; (I had many facilities in my school years ago – today what happened?)

      1. Set up a PROPER computer room (they have a computer lab, however not functioning due to insufficient funds) or
      2. Photography clubs (with the right eqpt n set-ups) or
      3. Gyms (when I was young, a twice a week class activity) or
      4. Band (complete instruments) and so many more.

      Today we see kids going to school, attend class and then home again, thats about it..

      Really SAD!

      Like

  11. Pingback: Tamarind & Tumeric, Fennel & Fenugreek – Week 40 « Che Nah

  12. not really imppresed with the total announcement, a bit dissapointed, hoping they will touch a bit about “kebajikan rakyat”, like: more tax exempt for the middle income with many children and those with disable kids, monitor the food prices. A lot of time when budget announced its always benefited the goverment sector while private workers like me with income less than 6k in a month still feels the pain. Still need to pay tax for my bonus, salary, allowances..
    Still need to pay parking for prk my car under the tree at the pandan Indah LRT station, RM3 per day ! its really painful, still have to stand in the train while trying to avoid the traffic jam to support the public transport….anything for us PM??? none.

    Like

  13. Pingback: LANSKAP EKONOMI GLOBAL YANG MEMBIMBANGKAN « Hidup Tuah!

  14. As always government servant getting pay increase. I have a water leakage problem for 9 years.The developer is PDC, The Managment is PDC (Penang Development Corp Setia Urus) all they say is they can do nothing. Whilst this type of problem When I phone up I always been pushed to the other authority. This similar problem can be settled immediately by a private management company. And I have proof of this. My flat is leasehold and we are unable to set our own committee.
    There is a lot of motorbikes being stolen. but it was the policing patrol (volunters) who caught the thief.
    I put my claim in small claims court and was over ruled by a defense without any exhibit attachment, The wise judge says case dismissed.
    Who can really help us?? It is a real horror story

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    • Some of my friends when faced with problems with the authority/horrible customer service/substandard products, they will contact Malay Mail’s Hotline. Thank you.

      Like

  15. I see the budget going up to 500 million for this for that and etc.The entire population
    of our country is 28 million.Why don,t they give each a million which will cost only
    28 million.All the budget here is wayang only for this coming GE13.

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  16. ikely bajet 2012 semua olang suko..sobab pak makassar memberi imbuhan ke semua kaum…apa yeing aku terkilan dari pandeigei lubang minda sempit aku….100 juta ke sekolah tamil kooliang …100 juta sekolah cino..hayour..100 ke sekolah kebangsaaaei.. tok masuuk kepala otakk langsung.

    sobab..katokein sekolah cina anggaran aggregate of 30 buah..tamil nandek ado 20 buah..sekoleih kebangsaaei 50 buah..kalo dengei jumlaoh bajet pengurusei yg cokap sekolah hanyour dan legam berkilat dapat memberi tuition makanei transportatation percuma kepado anak murid nyo..yg tidak seberapa kerat tu hah…..sekolah kebangsaaei kena berhati hati dalei menguruskei pebelanjaei mengatasie dengei jumlah sekolah yg banyouk ….

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  17. It is not a government that over promises but a government “yang saban hari memikir, merancang dan melaksanakan..” the country’s development…i just love this sentences.
    memikir and merancang…..is their job, but melaksana to be done by all of us. Malaysian should be grateful because they still have the budget to develop. Less or more, use wisely…

    Like

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