The Malaysian Insight

THE Malaysia-China Chamber of Commerce and the Federation of Chinese Associations Malaysia (Hua Zong) are positive about Pakatan Harapan’s government after its first 100 days in power.

Malaysia-China Chamber of Commerce president Tan Yew Sing told The Malaysian Insight the new government is business-friendly and has done well so far in spite of some unfulfilled election promises.

Prime Minister Dr Mahathir Mohamad’s current visit to China also augurs well for China and Malaysia’s bilateral relations, especially his first stop at Hangzhou – China’s equivalent of Silicon Valley.

Hangzhou is the birth place of Jack Ma’s multi-billion Alibaba business empire.  

Hua Zong president Pheng Yin Huah hopes the Kuala Lumpur-Singapore High Speed Rail and the East Coast Railway Line can be revived after negotiations, especially since the ECRL can stimulate economic growth in the peninsula east coast.

He said Malaysia targets to attract 30 million Chinese tourists to the country by 2020.  

“We need to attract Chinese investments and tourists. Johor’s Forest City, Malacca’s Gateway, Malaysia-China Kuantan Industrial Park, or the twin ports plan can attract more Chinese investors and tourists to our country,” he said.

Tan and Pheng are optimistic that the sales and services tax starting on September 1 could lower goods prices and spur private consumption in the long term.  

Tan said it should help lower inflation, while Pheng said the government must crack down on unscrupulous businesses that take the opportunity to raise prices.

“If the government’s enforcement is effective, the SST will be better (than GST) at keeping prices low,” said Pheng.

However, both said the new cabinet must adapt quickly to being in government and familiarise themselves with the civil service to implement their election promises.  

“The new government should continue to strengthen their institutional reform agenda and the rule of law, streamline the civil service, encourage more Chinese (Malaysians) to join the civil service, and make elections more transparent and fair, including electoral boundaries,” said Pheng. – August 19, 2018.