A bland title in the business section of a newspaper reads “As at end of November foreign reserve falls below 400 billion” and only USD964 billion left in Malaysia’s reserves. Well, how many people would really be intereseted in this news? Out of the 800 billion foreign debt 630 billion is government borrowed and yet the government confidently reassured that it’s within control. But it really pains to hear of the massive loss in 1MDB that couldn’t be recovered. Singapore has punished serveral banks for money laundering while the US has aggresive ivestigations and convictions, how about us? Park Geun-Hye though involved in a lesser amount but she is facing an impending impeached. In fact, that amount could be put to good use in education and welfare. What worry us now is that our country might be on the brink of bankruptcy and the loss in confidence of the ringgit might trigger mass selling. On top of that the complications of the currency war might see the strengthening of the USD and Yen while the renminbi goes self-devaluation. All the political and economic factors will effect in a big plunge of the Ringgit. This is the most damaging to the common people.
Was it an over-confidence? Even Indonesia, Thailand, Singapore and Taiwan which have more foreign reserves but less foreign debts than us, their politician probably do not dare to gamble the future of their next generations. The political institutions such as constitutional monarchy, replublic or socialist will define the country’s direction in political and educational system. However, the nation’s philosophy will directly lead to the rise and the fall of the country.
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