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Economic News

Vohkster

Alfrescian (InfP)
Generous Asset
In today's New on CNA, PM Najib will be investigated for the 1MDB scandal for his role as the chairman!
The problem he has now is lack of support from within his own party, especially from the old guards like Daim, the former finance minister and Dr M.
He made a big mistake by ruffling the feathers of this 2 old men thinking that they are has been and this is going to cost him dearly!

Najib just concluded the UMNO party gathering with the 191 heads. Suddenly this news appears. His days are numbered. I ain't gonna bet on RTS yet. Plus it's another 20 days to go before GST kicks in. Better start buying ur exp stuff now. Like milk powder, adult diapers, n etc. recently seems that crime has increased too. We all got to take care out there with our families.
 

cow138

Alfrescian
Loyal
I don't hold much hope on the leaders retreat.
Don't think that there will be any announcement especially with Najib under pressure from within is own party.
Likely to be status quo
don't think singapore will want to commit anything until the political situation stabilise.
 

snowbird

Alfrescian
Loyal
I don't hold much hope on the leaders retreat.
Don't think that there will be any announcement especially with Najib under pressure from within is own party.
Likely to be status quo
don't think singapore will want to commit anything until the political situation stabilise.

Yes, this 1MDB time-bomb now is already ticking away.
With this 1MDB scandal now brewing furiously and his poor performance at the last election, there's a good chance that this PM may be replaced unceremoniously just like the last one.
As for SG, I'm quite sure they would prefer to let this political storm blew over and settled than decide on the various major commitments like the HSR and the RTS.
Actually, when you look back you can see different PM in My settled various different issues with SG that had been left hanging for a long time.
Abdullah settled that "crooked bridge" to replace Causeway issue proposed and insisted by Dr M by cancelling the whole project despite several contracts were already awarded and the CIQ raised 6 storey high to cater for the bridge.
Najib settled the railway land and its CIQ issue by stopping the train in Woodlands and sell away all the railway land to SG in exchange for 2 prime sites in Shenton way and Bugis area.
 

RedsYNWA

Alfrescian
Loyal
I don't hold much hope on the leaders retreat.
Don't think that there will be any announcement especially with Najib under pressure from within is own party.
Likely to be status quo
don't think singapore will want to commit anything until the political situation stabilise.

Though my source was typically non-committal, I think progress will be made on 5 May. Let's see in 2 mths time.
 

FHBH12

Alfrescian
Loyal
1MDB's Cayman Islands funds now in bank in Singapore: Malaysia Finance Ministry

By Sumisha Naidu
POSTED: 11 Mar 2015 12:43
UPDATED: 12 Mar 2015 13:37

The controversial state investment fund has been under intense scrutiny after revelations of its growing debt - currently at 42 billion ringgit (S$15.7 billion).

MALAYSIA: The balance of the US$1.103 billion (S$1.53 billion) that 1Malaysia Development Berhad (1MDB) had invested in a Cayman Islands fund has been redeemed but is currently being kept in a Singaporean bank, said the Malaysian government.

The controversial state investment fund has been under intense scrutiny after revelations of its growing debt - currently at 42 billion ringgit (S$15.7 billion).

In a written answer to Democratic Action Party MP Tony Pua, who had asked what had happened to the money invested by 1MDB in the Caymans, Malaysia's Finance Ministry said that the money is being parked in US dollars at BSI Bank (Singapore). The bank is a wholly-owned subsidiary of Swiss bank BSI.

The decision to use a bank in Singapore was done to ease the process of withdrawal in light of regulations from central bank Bank Negara which state that transactions above RM50 million need its approval, said the ministry.

The US$1.103 billion is the second tranche of funds in 1MDB’s Cayman Islands funds. A total of US$2.32 billion was reportedly invested in the Caymans.

The government's explanation sparked more questions from the opposition. "There is something very fishy about the money in BSI Bank," said Mr Pua. "Is it encumbered? Tied down? Got cash, but cannot take?

"From the written answer, it is also clear that 1MDB is trying to avoid Bank Negara rules. They are intentionally trying to avoid Bank Negara regulations. That's why they kept it offshore. I cannot understand how a government company, where the advisers are from the Finance Ministry itself, have problems getting approval from Bank Negara."

On Mar 4, the Malaysian cabinet concluded that 1MDB had committed "no wrongdoing" after meeting with the fund managers and its auditors over allegations of financial mismanagement.

Still, the chairman of 1MDB's advisory board, Prime Minister Najib Razak, ordered the nation's Auditor-General to carry out an independent audit of the fund. A special taskforce comprising the Attorney-General, police and the anti-corruption commission has also been formed to probe 1MDB.

However, the inspector-general of police said official police investigations will only be launched if the auditor general finds anything suspicious.

There have been concerns about the independence of any investigation given the fund's direct links to people in power. However the Home Ministry, which oversees the police force, said such fears are unwarranted.

"I think the PM has already given the indication that just like the auditor-general, no one is exempt from any kind of admonishment or blame for anything that goes wrong in the ministry," said Deputy Home Minister Wan Junaidi Tuanku Jaafar. "The government will decide what to do once the findings are released."

Authorities have said PM Najib would also face investigation if necessary.

WON'T CONDONE ANY WRONGDOING

Commenting on 1MDB, Bank Negara Malaysia chairman Dr Zeti Akhtar Aziz said the bank would not condone any wrongdoing, reported Channel NewsAsia's Melissa Goh.

http://www.channelnewsasia.com/news/asiapacific/1mdb-s-cayman-islands/1708394.html
 

FHBH12

Alfrescian
Loyal
Malaysia will face more challenges from oil and commodity prices
Thursday, 12 March 2015

PETALING JAYA: Crude oil and commodity prices will continue to present challenges to the country’s economic outlook this year.

Bank Negara said the decline in prices would have an impact on the economy, given that commodities comprising crude oil, liquefied natural gas (LNG) and crude palm oil (CPO) accounted for 23% of exports and 15% of production, while manufactured products comprise 77%.

“In terms of trade balance, as a large net exporter of LNG and CPO, the lower prices of these commodities will weigh on the trade position this year,” it said.

However, the central bank said the country’s trade position would benefit from the lower cost of imported petroleum products despite receiving less proceeds from crude oil exports.

Furthermore, the drop in oil prices would mean that households would have an estimated RM7.5bil in total annual savings.

In addition, stronger US economic growth momentum and the continued expansion of China and other regional economies would continue to support external demand.

Investments in the mining sector, which accounts for 19% of the economy, would be affected due to the drop in prices but overall capital spending would remain resilient, as the services and manufacturing sectors would support investments.

Bank Negara said steps had been taken to diversify fiscal revenues in recent years as part of measures to manage the persistent decline in crude oil prices.

“The improvement in global growth will also provide support to manufactured exports and the overall trade position,” it said, while lower commodity prices would contribute to a narrower trade and current account balance.

http://www.thestar.com.my/Business/...nges-from-oil-and-commodity-prices/?style=biz
 

snowbird

Alfrescian
Loyal
Najib's position is a little shaky, so are Iskandar properties investors (including me) :eek:

Don't worry too much lah, even if he got dragged down from his horse, its only those major commitments like the HSR and RTS made with SG that might be affected cos, we don't know who will succeed the post.
This fella, being the PM is also the Finance minister and also the problem 1MDB Chairman, has the whole country's wealth at his disposal, wanted to do the GIC thingy but just got all the wrong people.
 

RedsYNWA

Alfrescian
Loyal
http://mykampung.sinchew.com.my/node/349903

地不佬大道班蘭路段‧第三車道正式通車

(柔佛‧新山11日訊)新山地不佬大道靠近班蘭城(Pandan City)的路段,第三條車道於昨天正式通車後,今早上班時段的該路段不再有大塞車現象,卻由於該處屬彎道,行駛車輛的車速仍緩慢。

原本該路段總共是4條來往車道,去年1月動工擴建班蘭橋和前置路段,擴建成6條來往車道。

馬華新山中區市議員陳傳平指出,原本工程預計去年12月完工,由於加入改變道路分界堤的附加工程,所以工程延期至今年3月1日。

他指出,前往新山方向的3條車道已經全面通車,不過前往哥打丁宜方向的路段,則是在昨天才全面通車。

“目前該路段已開放兩條新車道,同時關閉兩條舊車道,進行最後施工工程。”

他說,由於從班蘭城出口處銜接至班蘭橋的路段還需要鋪設瀝青,因此延遲至10天才完工。

據記者觀察,今日上班時段該處已不會出現長長的車龍,不過可能是還未全面撤除路障,加上路面未劃好馬路線,駕駛者還在適應中,所以車速緩慢。(星洲日報‧大柔佛)
 

RedsYNWA

Alfrescian
Loyal
At the risk of being thrown rotten eggs, I thought Johor Sultan gave an fantastic interview in the Malaysian papers, which was carried in today's ST. 软硬兼施, with his comments catering to the various interest groups in Malaysia.

He is really a very savvy businessman and ruler. :biggrin:


The future is in Johor, says Sultan JOHOR BARU

- Johor ruler Sultan Ibrahim Ismail, who will be formally crowned on Monday, spoke to The Star on, among other things, Johor's land reclamation, Chinese investors coming to the state, and the Pedra Branca dispute with Singapore.

Here are excerpts from the interview, the first part of which was published by the newspaper yesterday:

What are your views on claims that the land reclamation works will affect Singapore's shoreline?
There is plenty of land in Johor but the coastline is strategic. People only talk about reclamation by Johor, but not many are aware that land reclamation in Singapore reportedly started as early as the 1820s. In the 1960s, land reclamation began to be carried out on a large scale. Singapore has reclaimed over 70 sq km of land from 1960 to the present day, I am told. I don't know if these figures are accurate, but it is a fact that the shape of Singapore has changed because of aggressive and systematic reclamation. If Johor does not carry out reclamation, Singapore will and it has been doing so. Then, there is talk of the environment. I have done my checking. There is not a single dugong that would be affected.

The 1,386ha Forest City property project has become a controversy. Forest City will be almost half the size of Putrajaya and will rise in the Johor Strait, south-west of Johor Baru, where the Second Link to Singapore is situated. It is a joint venture between Guangdong-based Country Garden Holdings and Johor's state-owned Kumpulan Prasarana Rakyat Johor (KPRJ).

As the Sultan, I welcome all investors. If the Chinese are prepared to invest here, why should it be an issue? I am also confident that more Singaporeans would be purchasing homes in the state due to the weak Malaysian currency.

Johor has seen a few major Chinese developers launching large-scale property projects. There are concerns that Johor is seeing excessive construction and possible creation of ghost cities.

The Chinese developers are not going to build 80,000 (units) simultaneously. Only 8,000 units are being built now. Not all these house buyers are from China as there are also locals, especially from Penang and Kuala Lumpur. There are also Singaporean buyers. The future is in Johor because Singaporeans, not just Chinese, will be buying homes in Johor. Homes are already beyond the reach of ordinary Singaporeans over there. Once the links are in place, it will become the norm for Singaporeans to live in Johor and work in Singapore. That is the future.

Will the Friday and Saturday weekend for the civil service remain or does Johor, as a developing state, plan to revert to Saturday and Sunday to compete internationally, especially with so much talk about doing business with Singapore? Or will the private sector be forced to change to Friday and Saturday as well?

It's already over a year since Johor has had Friday and Saturday as the weekend. The aim of the change is to enable Muslims to perform their prayers without having to rush back to their offices. I understand it has its implications for the private sector as well as doing business with Singapore. I am still in the process of gathering feedback from the public and private sectors.

Is it correct to say that not many people dare to speak up against Your Royal Highness? There is fear and respect, all mixed together.
(Laughs) I think I am a friendly and easygoing person. I am straight-talking. Among the issues I raised in the past was that the federal government's suggestion of imposing a minimum price of RM1 million (S$376,000) for property that could be purchased by foreigners was only suitable to be implemented in Kuala Lumpur. I also suggested that a special team be set up to appeal against the decision on Pulau Batu Puteh (the island, known to Singapore as Pedra Branca, was at the centre of a territorial dispute between Singapore and Malaysia for almost three decades) made by the International Court of Justice (ICJ). To me, the ICJ decision (in 2008) favouring Singapore on the island's ownership was a result of "outsiders" handling the matter.

THE STAR/ASIA NEWS NETWORK - See more at: http://www.straitstimes.com/news/as...ultans-crowning-20150319#sthash.tJtANhfh.dpuf
 

cow138

Alfrescian
Loyal
Would like to hear Lim Kang Hoo take on the sultan intrusion into the commercial aspects of Iskandar.
As well as Peter Lim.
kinda think that the sudden launching of so many units for Princess Cove surely would have thrown a spanner into the works for the Vantage Bay project.
Till now it's still dormant.
 

RedsYNWA

Alfrescian
Loyal
Would like to hear Lim Kang Hoo take on the sultan intrusion into the commercial aspects of Iskandar.
As well as Peter Lim.
kinda think that the sudden launching of so many units for Princess Cove surely would have thrown a spanner into the works for the Vantage Bay project.
Till now it's still dormant.

A more detailed retort by the Sultan below...........

Q: Johor has seen a few major Chinese developers launching large-scale property projects. One developer, for instance, launched 9,000 units at one go and most are to be sold to buyers from China. But a large number of units are not sold yet. There are concerns that Johor is seeing an over-built situation and possible creation of ghost cities. Local developers have also been speaking up about preferential treatment to these overseas developers. Please comment.


A: The fear of a glut is just an assumption. All these homes will not be built simultaneously. Why blame the Chinese for investing in the state? Presently, 80% of property in London belongs to foreigners.

I do not think the Chinese developers would build these homes and then leave them empty. Do you think that these Chinese developers have not done their calculations, including capital recovery and the projected returns on the investments?

Some people talk about a glut in high-rise property units in Johor Baru. The Chinese developers are not going to build 80,000 simultaneously. Only 8,000 units are being built now. Anyway, not all these house buyers are from China as there are also locals, especially from Penang and Kuala Lumpur. There are also Singaporean buyers.

The future is in Johor because Singaporeans, not just Chinese, will be buying homes in Johor.

Homes are already beyond the reach of ordinary Singaporeans over there.

It is a political issue when the middle-class find themselves squeezed. Even in Malaysia, with its abundance of land, the young are finding it difficult to own a home, especially in the Klang Valley and Penang.

Once the links are in place, it will become the norm for Singaporeans to live in Johor and work in Singapore. That is the future.

Thousands of Hong Kong residents and expatriates, including Malaysians that I know, stay in Shenzen but commute to work daily.

We are talking about investing in the future and these Chinese investors know the Hong Kong and Shenzen scenario very well.

Over 200,000 people cross to Shenzen each day in just 45 minutes. That is how the cross-border culture has changed dramatically.

I think local developers just have to work harder. I believe that healthy competition among the developers is good for the industry.
 

cslong

Alfrescian
Loyal
A more detailed retort by the Sultan below...........

Q: Johor has seen a few major Chinese developers launching large-scale property projects. One developer, for instance, launched 9,000 units at one go and most are to be sold to buyers from China. But a large number of units are not sold yet. There are concerns that Johor is seeing an over-built situation and possible creation of ghost cities. Local developers have also been speaking up about preferential treatment to these overseas developers. Please comment.


A: The fear of a glut is just an assumption. All these homes will not be built simultaneously. Why blame the Chinese for investing in the state? Presently, 80% of property in London belongs to foreigners.

I do not think the Chinese developers would build these homes and then leave them empty. Do you think that these Chinese developers have not done their calculations, including capital recovery and the projected returns on the investments?

Some people talk about a glut in high-rise property units in Johor Baru. The Chinese developers are not going to build 80,000 simultaneously. Only 8,000 units are being built now. Anyway, not all these house buyers are from China as there are also locals, especially from Penang and Kuala Lumpur. There are also Singaporean buyers.

The future is in Johor because Singaporeans, not just Chinese, will be buying homes in Johor.

Homes are already beyond the reach of ordinary Singaporeans over there.

It is a political issue when the middle-class find themselves squeezed. Even in Malaysia, with its abundance of land, the young are finding it difficult to own a home, especially in the Klang Valley and Penang.

Once the links are in place, it will become the norm for Singaporeans to live in Johor and work in Singapore. That is the future.

Thousands of Hong Kong residents and expatriates, including Malaysians that I know, stay in Shenzen but commute to work daily.

We are talking about investing in the future and these Chinese investors know the Hong Kong and Shenzen scenario very well.

Over 200,000 people cross to Shenzen each day in just 45 minutes. That is how the cross-border culture has changed dramatically.

I think local developers just have to work harder. I believe that healthy competition among the developers is good for the industry.

Since you posted the interview content, do you agree with our Sultan's view?
 

cow138

Alfrescian
Loyal
Since you posted the interview content, do you agree with our Sultan's view?

I hope that his vision will materialise.
But ShenZhen and Hong Kong vs Singapore and Johor are fundamentally quite different in that both are separate sovereign countries.
Some of the sultan comments about doing tic for tac with regards to the land reclamation as well as the Pedra Branca issue seems like he's still bothered by the perceived gains by the Singapore govt and is not willing to let go of the issue.

Will be a potential problem.
 

RedsYNWA

Alfrescian
Loyal
Since you posted the interview content, do you agree with our Sultan's view?

Well, I would take a business-minded Sultan over a hudud Sultan any day! And it's true that it would be folly to deny the Chinese investments.

That said, I feel he really needs to use his influence to speed up things, be it more officers at immigration booths (mostly 50% opened only) or RTS/HSR. RTS especially is taking far too long for comfort.
 

RedsYNWA

Alfrescian
Loyal
Some of the sultan comments about doing tic for tac with regards to the land reclamation as well as the Pedra Branca issue seems like he's still bothered by the perceived gains by the Singapore govt and is not willing to let go of the issue.

Will be a potential problem.

Well, don't worry, it's just politics. He needs to say something to appease the conservatives and to guard his position against Mahathir. Action speaks louder than words though..... :biggrin:
 

snowbird

Alfrescian
Loyal
I hope that his vision will materialise.
But ShenZhen and Hong Kong vs Singapore and Johor are fundamentally quite different in that both are separate sovereign countries.
Some of the sultan comments about doing tic for tac with regards to the land reclamation as well as the Pedra Branca issue seems like he's still bothered by the perceived gains by the Singapore govt and is not willing to let go of the issue.

Will be a potential problem.

If there is anyone to blame, he should blame his ancestors for selling off the island to the British.
Actually he is doing the same thing too but in a different way by selling land to foreign developers to built houses to sell to foreigners!
Just because SG had some massive reclamation, he reasoned that why not them too, forgetting that SG NEEDED to because of the limited island size while he don't need to with the state's massive untouched land bank tens of times bigger than SG!
As for the Pedra Branca, its already a settled case and no more appeal is not allowed, why still sore about it?
 

RedsYNWA

Alfrescian
Loyal
If there is anyone to blame, he should blame his ancestors for selling off the island to the British.
Actually he is doing the same thing too but in a different way by selling land to foreign developers to built houses to sell to foreigners!
Just because SG had some massive reclamation, he reasoned that why not them too, forgetting that SG NEEDED to because of the limited island size while he don't need to with the state's massive untouched land bank tens of times bigger than SG!
As for the Pedra Branca, its already a settled case and no more appeal is not allowed, why still sore about it?

No offence Bro, but clearly you are not a politician. Maybe if you look at these posts 10-15 years later, you would have a better idea why he said those things. Sultan is actually a v smart man, or should I say, the brains behind the scripted interview is a v smart man? :smile:
 

cslong

Alfrescian
Loyal
Well, I would take a business-minded Sultan over a hudud Sultan any day! And it's true that it would be folly to deny the Chinese investments.

That said, I feel he really needs to use his influence to speed up things, be it more officers at immigration booths (mostly 50% opened only) or RTS/HSR. RTS especially is taking far too long for comfort.

Well said.... i am too 200% agree with our beloved Sultan.
 
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