Praktikal Idealis Malaysia for Parlimen Belia Malaysia

Big Banks and Small Banks

1.      In today’s Financial Edge Daily, Affin’s Deputy Chairman, Tan Sri Lodin Wok Kamaruddin commented that despite the hype of mega merger between CIMB-RHB-MBSB and possibility of more consolidation of banking groups, there is still a relevancy of having smaller banks to serve the Rakyat.

2.      I’ve discussed this matter with my think tank and I believe that consolidating the remainder banks is bad for the Rakyat, in particular the Small and Medium Enterprises (SMEs). Reason being is bigger banks have their own market segment to cater and with such capacity, bigger banks can compete at regional and world stage.

3.      If we’re looking back at the Financial Market Blue Print, having a mega bank can help us securing more deals that before this too far for our local bankers to touch, such as the Ali Baba listings and many exotic securitization of assets and M&As. In the Blue Print, Malaysia envisioned itself as global financial hub with Kuala Lumpur has the same status as Singapore, Hong Kong, London and New York.

4.      Perhaps, we can become one by leveraging the fast growing demand of Islamic Finance and Islamic Capital Market. Both Bank Negara Malaysia and Securities Commission are continuously reviewing current regulations and working hard to create a conducive and nurturing eco-system for the big financial players to see Malaysia as irresistible place to create value.

5.      Having said that, one should not forget the impact to local businesses and credit market for our own Rakyat. Two of the smallest local banking groups, Affin and Alliance have declared their intention to not involve in any further mergers. They believe in their unique positioning and serving highly niche market segment. Obviously, they can’t compete with the big guns like merged CIMB-RHB-MBSB and others like Maybank, Public and Hong Leong, in terms of domestic investment banking deals, but their existence provide hope for the smaller businesses and aspiring entrepreneurs.

6.      Being small also give them an advantage of being efficient and fast. Rationalizing and upgrading their internal process could be done fast and manageable compare to trans-countries operation.

7.      I am for more banks in the local market. In matured economy, banks provide liquidity and provide credit to the Rakyat. Referring to the film “Too Big To Fail”, Paul Giamatti, who played The Fed’s Chairman, Ben Bernanke “The depression may have started because of a stock market crash, but what hit the general economy was a disruption of credit. Average citizens unable to borrow money, to do anything. To buy a home, start a business, stock their shelves. Credit has the ability to build a modern economy, but lack of credit has the ability to destroy it, swiftly and absolutely”

8.      I am not saying that I am supporting the bankers. I believe the power to create money by the privately-held National Banks like the Federal Reserves and Bank of England is an abomination to the world economy. But in Malaysia’s context of banking sector, having more banks, community banks, smaller banks are better for the Rakyat. They will compete in the domestic markets, provide interesting packages with competitive rates to woo clients. Access to credit is high and economy will get bigger.

9.      Let the smaller banks cater the domestic market and the merged CIMB-RHB-MBSB, the mega Islamic bank, Maybank and Public Bank ramp up their capabilities to become regional champion and one day side by side with big names like JP Morgan, Morgan Stanley, Goldman Sachs, Credit Suisse, Citibank, HSBC and ICBC of China. Let the smaller banks grow organically.

Agenda Nasional Praktikal Idealis Malaysia

As-salamualaikum dan Salam Agenda Pencerahan.

Kami di Praktikal-Idealis Malaysia amat mengambil maklum dan menyedari peranan dan fungsi Parlimen Belia Malaysia.

Kami juga mengambil maklum akan limitasi dari segi undang-undang yang boleh dilaksanakan sebagai Ahli Parlimen Belia Malaysia.

Tidak menjanjikan Bulan dan Bintang, kami di Praktikal Idealis telah menggubal agenda yang kami percaya cukup untuk membentuk kekuatan pengaruh belia. Dengan mengambil kira peranan belia di dalam pembangunan negara dan sahsiah rakyatnya,

Menggabungkan kepakaran dan pengetahuan calon-calon Praktikal Idealis dan sesi-sesi konsultasi dengan stakeholders belia, kami menawarkan Agenda Nasional yang membentangkan 6 perkara yang boleh dilaksanakan mengikut kerangka kuasa dan limitasi Ahli-Ahli Parlimen Belia Malaysia.

Praktikal Idealis Malaysia, satu Perjuangan yang akan diteruskan

1. Sejak bermulanya kempen rasmi Parlimen Belia Malaysia, saya dapat merasakan perubahan di dalam kehidupan seharian saya. Ianya sungguh memberahikan. Lebih menakjubkan melihat semangat yang ditonjolkan oleh rakan-rakan Praktikal Idealis dari seluruh Malaysia.

2. Pelbagai cabaran yang mendatang tanpa ada tanda untuk berhenti, dilabel sebagai anti-establishment, pendokong kuat Pembangkang, dituduh sebagai alat indoktrinasi Pembangkang, segalanya seumpama kami dibentuk dan dibiayai oleh mereka.

3. Saya masih ingat sewaktu penubuhan awal Praktikal Idealis. 5 orang anak muda yang mempunyai harapan dan visi yang sama. Saya hanya mengenali saudara Farhan sahaja ketika itu, kerana beliau adalah rakan seuniversiti 5 tahun yang lepas. Saya baru mengenali mereka, pertemuan singkat meyakinkan saya yang mereka ada bakat-bakat yang harus diketengahkan. Konsistensi di dalam perjuangan menuju kearah agenda pencerahan yang sebenar untuk Malaysia yang maju dan bermartabat.

- Kami sepakat untuk memastikan yang gerakan ini milik sepenuhnya 100% diasaskan oleh anak muda. Anak muda yang menghadapi cabaran reality kehidupan rakyat Malaysia.

- Kami sepakat gerakan ini adalah non-partisan tanpa ada pengaruh parti-parti politik Negara. Ianya menyegarkan dan kena dengan pembawaan dan jiwa anak muda.

- Kami sepakat meraikan perbezaan kerana kami percaya tiada idealogi yang secara fitrahnya lebih baik dari yang lain. Setiap idealogi ada pengikutnya. Setiap idealogi ada metodologinya. Di Praktikal Idealis ianya dikumpulkan, disatukan, diraikan, dimartabatkan, dan digerakkan.

- Kami sepakat mengangkat Ilmu Pengetahuan. Dilahirkan di Perpustakaan Negara Malaysia dan kemudiannya diperkemas di Perpustakaan Raja Tun Uda. Diterjemahkan semangat bulan Ramadhan Al-Mubarak didalam DNAnya.

- Kami sepakat mengejar Pencerahan. Kami percaya pada Perubahan. Kami mendokong aspirasi anak muda yang menginginkan Kemajuan. Ilmu dan Pengetahuan menggalakan pemikiran, menstimulasi kebijaksanaan, menolak bias yang sudah ketinggalan, membentuk pemikiran yang berasaskan Ihsan.

- Kami sepakat mendokong keluhuran Perlembagaan. Menyelami Rukun Negara sebagai rujukan.

- Kami sepakat dan terus sepakat membawa idea ini. Memberikan kembali kuasa memilih dan berfikir kepada Pemuda dan Pemudi. Menjadi Kuasa Ketiga yang disegani. Memecahkan tembok status quo monopoli parti-parti.

4. Ayuh semua rapat saf. Dari Alor Star ke Johor Bahru, dari Ipoh ke Kota Bahru, Seremban, Shah Alam dan Kuala Lumpur, Borneo Sabah dan Sarawak, dan juga rakan sokongan yang jauh. Sama-sama menuju Ke Arah Agenda Pencerahan, Berani Berfikir dan Meraikan Perbezaan.

Budget 2015, 10th Malaysian Plan and 11th Malaysian Plan

1.      This year Budget is the last installment of 10^th Malaysian Plan. The 10^th Malaysian Plan (10MP)  is a testament of the ambitious Government Transformation Programme (GTP) and the New Economic Model (NEM), which premised on high income, inclusive and sustainability.

2.      As the first ever of Development plan for our Prime Minister, YAB Datuk Seri Najib Razak, the 10MP sets the stage for a major structural transformation that a high-income economy requires. The Plan contains new policy directions, strategies and programmes that enable the country to emerge as a high income nation.

3.      After 4 years of implementation, it is logical for us to gauge the success of this Plan thus far before ever we embark of a discussion for the Budget 2015. According to an article by The Edge Malaysia, the Plan targeted an annual growth of GDP for 6.00%, yet the forecast for our GDP for the first half of 2014 shows lesser value with 4.50% growth. With the introduction of GST next year, achieving 6.00% growth GDP is proved challenging for the policy makers and economic players.

4.      One of the 10 big ideas of 10^MP is unleashing productivity-led growth and innovation, however records shows that our national productivity remained flat and we are still struggling with talent issues like brain drain and high dependency on foreign workers. Talent Corporation an agency created to “manage” the talent issue in the country and is still working hard to achieve their target.

5.      Another big question is the position of our National Debt. Record shows that our Total Debt-to-Equity stands at 54.71% which just shy of 0.29% from the limit set by the Loan (Local) Act 1959. The Plan sets clearly that sustainability as key element and reducing the deficit is essential to pare down our National Debt. Again with only 1 year to go, it is like mountain to hike even the fiscal consolidation is undergoing.

6.      There are other issues within the 10MP, however, suffice to say is our Government really committed to follow through the plan that has been set up by itself. We can’t discount the possibility of external factors such as world economy dynamics, and all parties must alert and work together to prevent such thing to happen again, as we are the last stage of vision 2020. The 2015 Budget will become the bridge for us to leap to 11^th Malaysian Plan, the last ride of development plan before we put our self on par with the rest developed economy worldwide.

credit to The Edge Malaysia.