The Global Auto Industry Is At Stake

My heart sank as news of one car manufacturer after another was asking help from their respective governments for financial support. In recent week French Renault and PSA Peugeot Citroen was given € 3 Billion loan so that its employees could keep their jobs.

Closing a business is the last thing in the mind of every management team. During this hard time I truly agreed with President Obama's remarks on bonuses paid to Wall Street CEO's then using public funds. To those who were forced to leave their jobs and yet seeing their former bosses still receiving bonuses, zipping wines or even buying a new private jet is certainly a pain in the ass.

If Henry Ford is still alive he would regret inventing Model T. Even Enzo Ferrari won't mind just riding a bicycle instead of his fast machine.

Malaysian Made Car PROTON (Perusahaan Otomobil Nasional Berhad)was incorporated on 7th May 1983. I was only 16 years old then but as the first Proton Saga rolled out in 1985, there I was proudly seeing a Malaysian Made Car driven by Malaysians. Although it was just a remake of Mitsubishi that particular first model itself provide the symbol and spirit of Malaysians.I assume I would be much prouder if I go to Britain and seeing a British i.e.my former lords driving a Proton.

There has been real signs of negatives in the Malaysian Economy lately but I doubt that PROTON would need a government support in the very near future because in 1998 Proton too has suffered badly but we survived. I am certain the Malaysian Government would provide something to keep the heart of Malaysian Economy moving in its second stimulus package to be announced soon.

I wonder if the crude oil prices would remain as low as it is now for a long time. But my instinct says crude oil price would remain low until at least end of 2009.Now that people worldwide are driving more cautiously the demand for oil is declining too. Admit it, we only drive our cars now only if we have to rather than just driving around seeing chicks.

Happy Valentine's Day....................

Thank God Its Valentine's Day

Dear God,

I thank you for giving me this life and celebrate this Valentine with my love although we are far far away apart. Our love will always be nurtured no matter what the obstacles.

Happy Valentine's Day

Dear Valentine,

This year would be the 19th year that we could not celebrate Valentine's Day together. No matter what had happened both you and I know that we still love each other.

My Valentine,
It's so hard to endure this feeling of lost without you beside me BUT your voice is still in my ears. Your smile, laughter, anger are fresh in my mind. The kisses and love would last forever.

I Wish you My Valentine A Happy Valentine's Day. I will always love you though we are thousands of kilometers away. We are physically apart BUT not our hearts.

Love,

Visit MELAKA Is Visit Malaysia

I was in the Historical City of Melaka during the Chinese New Year holidays. It has been more than a year since I've been to this city and mind you a lot have changed. Two structures which made me proud as a Malaysian were the Taming Sari Tower and Eye on Malaysia Wheel.

The Taming Sari Tower is the back bone of Melaka. During the 1400 AD Melaka was the center of commerce in this part of Malay Archipelago. Many traders came to do trade in Melaka and some of them stayed permanently here. To me the Taming Sari Tower depicts the spirit of 1400 AD where the tower is the first line of enemy detection.

Eye on Malaysia is the Wheel to depict the tire i.e. our life is full of ups and downs. A rotating wheel would go up and down thus during this period of economic uncertainty the lower end will go up again. The only question is when... The best comparison would be the Economic Cycle Line. Peak - Downturn - Trough - Recovery


Since I last wrote my views, the Malaysian Government has released some figures regarding job cuts in Malaysia until January 2009. Besides Intel, Panasonic has decided on retrenchment too. Ministry of Human Resource and the Statistics Department must disclose the unemployment figures correctly. I doubt that the numbers published in the local newspapers were correct!

Monetary Policy,New GDP Forecast, CPI & SRR

I am stunned by the news that Microsoft would terminate only 5,000 jobs. I sincerely think the figure would be bigger. Moreover with Apple's Steve Jobs taking 6 months off to me is a signal of how bad the economy is (not just his health problem)

Bank Negara Malaysia reduced the Overnight Policy Rates 75 basis points to 2.5% thus the ceiling rate is now 2.75% and floor rate 2.25%. Commencing 1st February 2009 the Statutory Reserve Requirement for banks would be reduced further to 2%. However one figure which gave me a sigh of relief is the CPI for December 2008 - It has gone down to 4.4%

I could not but review my GDP forecast for Malaysia in 2009 to less than 1%. Considering the declining demand in computers I predict many computer chip factories in Malaysia would soon retrench their workers. When I was recuperating at the HTAN ward I met some factory workers who have been asked by their employers to come to work for 3 days instead of five.

The second stimulus package to be announced by Datuk Seri Najib Minister of Finance must look deeply into this matter. To me Najib is a more open figure considering he was a British graduate. The only way to overcome an economic crisis which started from the west is to think like the westerners but never ever forget the eastern and Islamic values.

Emphasize must be given to domestic economy now. Tourism is a good foreign income. I thank the people of Thailand for their recent demonstration and closure of Thailand two airports because foreign tourists have instead travel to Malaysia.Proton and Perodua must never ever be neglected because the National Car is the heart of the Malaysian Economy.

Gong Xi Fa Cai

Happy Chinese New Year to my Chinese readers. I am not sure what animal 2009 relates to according to the Chinese Calendar BUT I hope the Chinese fortune tellers could provide some happy news on the economy.

I Have Lost A Great Buddy

In 1998 my auntie died suddenly of heart attack.She was only 35 years old. In 2005 my grandmother died at the age of 76.

Since his heart valve operation in 2002,my late father always reminded me about Prophet Mohd (peace be upon him) hadis i.e.that human lifespan would be between 60 years and 70 years. Even Prophet Mohd died at the age of 63. I thought I have prepared BUT in reality it sucks although my father died at the age of 71.( My father's mother is still alive but she is senile at 90 I think)

I have lost not only a great father but also a friend who would argue with me on world affairs from credit crunch to the Palestinian conflict. I am sad and shock especially remembering him having his stroke inside my Perodua Kancil that evening of 30th December 2008.

May God Bless His Soul.

My Father DIED on 30th December 2008

Allah The Almighty the One and only God, my beloved father DIED at Kuala Pilah Hospital on December 30th 2008 for pneumonia and heart failure at 2210 hours.

Just the day before, our family were in Kuantan Pahang to celebrate my father's 71st birthday and my parent's 43rd wedding anniversary at Swiss Garden Resort Kuantan. I noticed a lot of differences with my father lately BUT I thought it was nothing to matter.

On 27th December 2008, the Ruler of Negeri Sembilan Tuanku Jaafar also passed away.We were on the way to Kuantan when the Ruler's death was announced BUT I noticed my father was looking and staring at me. I just smile.

I have prepared myself for this situation since September 2002 when my father did his heart valve replacement surgery at IJN BUT I am just an ordinary human being. However I am glad that my father died peacefully WITHOUT any debts to burden his next of kin i.e. me. Should he die in September 2002 I would still need to settle his mortgage (housing loan) BUT my father's housing loan was settled in July 2005.

Now that I am the head of the family many things have to be done. First thing is to go to the Malaysian Public Services Department to renew my father's pension so that it would be paid to my mother instead.In so doing I suffered a minor chest pain on December 31st 2008 and was warded at Kuala Pilah Hospital until January 5th 2009.Now I have to take some pills for hypertension and undergo Stress, Echo and Hulter tests in March 2009.

Please give me sometime so I could refresh my mind regarding the global economic situation.

Al Fatehah

Canadian Subsidiaries Automaker Bailout

The 4 Billion Canadian Dollar loan granted by the Canadian Government and Ontario Provincial Government to General Motors Canada and Chrysler Canada is a clear set back to the U.S. Canada Free Trade agreement 1989. As a student in 1989, I clearly supported the move by the then Mr Mulroney's Tory Government for a freer trade between U.S. and Canada.

Now that the U.S. is in a bad shape, Canadians too have to suffer the consequence of failing auto industry. Though I have never been to Windsor which is the Canadian city of Detroit, I could imagine Windsor as a ghost town in January 2009 IF the Harper Government plays Adam Smith's Free Market idea.To restructure a big organization like GM in 3 months will be an excruciating job BUT I know with decades of experience GM, Chrysler and Ford either in Canada or the U.S. could rejuvenate the auto industry again.Furthermore with a zero to 0.25% Fed interest rate, North Americans may now be allowed to turn their purchases toward Big 3 compact models (even if they receive unemployment insurance).I welcome the willingness of Canadian Auto Workers to cooperate with the government and the automakers to prevent more lay offs.

I still remember reading a blog which says she is losing her home BUT she cannot afford to lose her car too! BECAUSE for homeless North Americans now their vehicles are their beds.