BUDGET 2011

As expected when PM Najib and Finance Minister presented his 2011 Budget speech last Friday October 15th 2010, I was asking the question many people asked. That is the deficit.

Back in the 1990s Malaysia had a budget surplus while in reality the current account was largely negative. The situation now is reverse where the budget is deficit but the current account is surplus.

To me 2011 budget has a loophole such that it failed to address the unattractiveness of Malaysia as a place to invest. The corporate and individual tax rates in Malaysia is still high (corporate at 25% if I'm not mistaken). Thus Malaysia is losing its competitiveness to its neighbors.

Most interesting is the exemption of import and excise duties on hybrid cars until December 2011 and maternity leave for public employees. Now that cellphones are much cheaper,I guess I could buy those 3G cells.

With 26000 Malaysians heading for Mecca for the haj, I feel the time has come for the government and Tabung Haji to have a better Tabung Haji Complex. Obviously the Kelana Jaya complex is too crowded and it is a nuisance to the neighborhood at this time of the year. Maybe the present LCCT at KLIA can be used as the new Tabung Haji Complex when the new LCCT terminal near Bunga Raya Complex is complete.

I presume many Malaysians abroad will come home in 2011 as the Talent Corporation takes shape. They should have no problem in getting a good job commensurate with their qualification and experience. I have nothing and I am Not a professional.

Overall it is the budget for the people as PM Najib always said People First, Performance Now.