The government should not be afraid of incurring a larger budget deficit and should borrow more to speed up economic recovery. Immediate efforts should focus on supporting those who have lost jobs or have reduced income. The creation of better jobs will be vital as we recover, and the health & education sectors are areas the government should stimulate.
Pengembangan sektor pendidikan awam dan penjagaan kesihatan awam akan mewujudkan peluang pekerjaan dan meningkatkan pendapatan ketika permintaan buruh sektor swasta dilihat lemah, serta membantu Malaysia mendepani dua cabaran jangka panjang, iaitu perubahan teknologi & demografi.
The creation of good jobs and securing livelihoods through decent pay should be of first and utmost importance in the nation’s economic agenda as we battle through this pandemic turned economic crisis as a “national mission” in a “whole of government” approach.
This will require a shift in mindset, moving away from fiscal discipline and balanced budgets, toward a new paradigm where the state fully assumes its role as catalyst for the economy and as anchor investor in uncertain but transformational ventures.
There are huge challenges societies have to face due to the COVID-19 crisis, and the state needs to think about how to play a more active role in creation of high-paying jobs.
Governments should not obsess over increasing debt with borrowing, as now is the time to spend to mitigate the effects of the Covid-19 pandemic
Our Research Director, Ivy Kwek speaks about Malaysia-China relations and the significance of the visit of the Chinese defence minister to Malaysia.