A good kick off

KUALA LUMPUR: The comprehensive deregulation of investment guidelines announced today is a fair policy for all, including foreign investors, Prime Minister Datuk Seri Najib Tun Razak said. "It is a fair new policy guideline, which is designed to be a win-win situation for global investors and at the same time address the need for new effective instrument for Bumiputera participation," he said.............................

Among others, he announced that with immediate effect, the Foreign Investment Committee (FIC) guidelines covering the acquisition of equity stakes, mergers and takeovers would be repealed without any new guideline in place.

"The FIC will no longer process any share transactions nor impose equity conditions on them," he said.Currently, he said, companies seeking listings were required to satisfy the public shareholding spread requirement of 25 percent based on Bursa Malaysia's listing rules and also the Bumiputera equity condition based on FIC guidelines.

Going forward, he said, the public spread requirement would remain and in addition, the Securities Commission would introduce a new guideline which would require companies seeking listing to offer 50 percent of the 25 percent public shareholding spread to Bumiputera investors.

"The Bumiputera equity condition therefore becomes subsumed within the public spread requirement.

"One of the pains of the FIC and the old model is that some people feel disincentivise in this country and it has been a complaint in the past by foreign investors. And now I hope they will talk about we being more friendly. Insya Allah," he said...................(extract from Bernama)

***********************************************************************************

1.The liberalization of financial sectors is a good kick start.Mr Najib , you are at right track now.But success still far far away from you.

2.These measures are neccessary , but not sufficient for you to transform malaysia to a new economic growth model.At the moment,we stil very dependent with our natural resources like oil, palm, rubber.

3.I think you and your advisor should able to identify the roots of our stagnant growth of economic performance.In fact, we din perform well since the last Asian financial crisis.Yet, the economic data we get seem like nothing serious.For example, the unemployment rate, it seem undercontrol.But actually if we observe carefully, it is because our labor are super low productivity.

4.Give you an example, when we use the PLUS, everytime when we go into the toll, there is a person wil deliver you a ticket.Imagine, how many tolls in the highways, and how many people are doing this jobs. In fact, you just need to install the machine instead of employ a people to do simple jobs.And i strongly believe the cost will be must more lower( i dun have actual data...so it just my estimation)

5. well, some will argue that if we install machine, the workers cant get jobs and then it will lead to social unrest and May 13 will happen again.This is the favor quote by our politician.

6.In my point of view, it can be solved if our education system function properly.Actually i feel so sad as our education system are fail to serve its purpose.Our standard drop drastically.You cant blame the mat rempit as we fail to provide them the surviving skills and proper value.Beside, our undergraduate also not as productivity as last genearation. Our research standard is low .

7. Meanwhile, the outflow of the human capital, particularly from the Chinese ethic are very severe.So, Mr najib, how can a country develop without high quality of human capital?

8.Hence, i urge government to reform the education system.Education now at the wrong track.Our syllabus are outdated.Both our teachers and students are overload.The focus of education is deviated.

9.Education reformation and financial liberalization equal important and urgent.