𝐊𝐧𝐨𝐰 𝐘𝐨𝐮𝐫 𝐒𝐭𝐚𝐭𝐮𝐭𝐨𝐫𝐲 𝐁𝐨𝐝𝐢𝐞𝐬

FELDA was once successful in bringing rural households out of poverty. However, it’s now having problems with improving settler’s welfare and being competitive due to changes in the world. It’s time for FELDA’s model to change.

In our latest GLC Monitor, we call for fundamental reform to the FELDA model. Read the paper herebit.ly/GLCmonitorFELDA
bit

MEDIA STATEMENT

For immediate release

IDEAS: Publish the ECRL project feasibility study before renegotiating any further

- The government has announced that the ECRL will once again be renegotiated

- Both the original ECRL project under Barisan Nasional and the revised project negotiated by Pakatan Harapan failed to meet internationally accepted standards for transparency

- Key information such as the feasibility study and the Environmental Impact Assessment has not been made publicly available

- The Perikatan Nasional should publish the feasibility study before the renegotiation. The publication will signal this government’s commitment to a higher standard of infrastructure transparency

Kuala Lumpur, 10 September 2020, - The Minister of Transport confirmed yesterday that the Perikatan Nasional government is seeking another renegotiation to the ECRL alignment. The minister said that the realignment “has the potential to lower project costs and reduce the amount of time required”. (The Edge Malaysia, 8 September 2020)

IDEAS welcomes the current government’s intention to lower the cost of the project. However, we call on the government to provide the public with a feasibility study that comprehensively shows that the proposed realignment exercises will indeed lower costs and save time.

Tricia Yeoh, CEO of IDEAS, said: “ Large infrastructure projects such as the ECRL require a significant amount of public funding. The government must ensure that the decisions around these projects are based on achieving value for money and high-quality service delivery, while supported through comprehensive feasibility studies. These studies should also be published as part of a robust assurance process. The failure to disclose them undermines evidence-based decision making.”

Internationally accepted standards for transparency require the government to publish key project information such as the estimated project budget, necessary land and property acquisition, price of materials, environmental impacts, and mitigation measures that would be available through the publication of feasibility studies and Environmental Impact Assessments.

In 2019, the Pakatan Harapan renegotiated the project to reduce the cost of the project. Months of negotiations indeed resulted in a project cost reduction of RM21.5 billion and a significant realignment of the ECRL including the now contested Section C portion. However, Pakatan Harapan did not complete the Environmental Impact Assessment required by the Environmental Quality Act 1974 nor did it publish the Feasibility Study for this section of the track. The significant cost reduction from RM65.5 billion to RM44 billion had been based on a comprehensive value engineering exercise, but no such report on the exercise had ever been published to the public either.

"This is a perfect opportunity for the current government to demonstrate higher transparency standards than the previous two administrations. Providing comprehensive information on large infrastructure projects that abide by international standards will set Perikatan Nasional apart from its predecessors, and set a good example within the region as well", commented Tricia.

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For media enquiries, please contact Muhammad Azam Wan Hashim at azam@ideas.org.my or call 03-2070 8881

The government has formed a cabinet committee to look into a National Food Security Policy, following concerns about food supplies during the MCO. IDEAS Senior Fellow, Prof. Fatimah Arshad spoke with BFM 89.9 - The Business Station on what can be done to ensure our food chains can better withstand a crisis. #foodsecurity https://bfm.my/podcast/evening-edition/evening-edition/ensuring-food-security-in-a-crisis

We're looking for a graphic design intern!
The Graphic Design Intern is responsible for providing support for the External Relations (ER) department. They will report to the designer or manager. This is a paid position for 3 months.

Their primary duties include but are not limited to:

Assist with collateral updates and version control
Assist with preparing images or artwork to coincide with social media and website posts
Assist with website updates via WordPress
Requirements:

1. Excellent computer knowledge for both Mac/Apple and PC environments
2. Must be proficient in basic design programs including Adobe Creative Suite and basic HTML/CSS code
3. Excellent communication skills (written and verbal) and administrative skills
4. Ability to work independently and complete assigned tasks within identified time frames
5. Organized, dependable and detail-oriented
6. Team player, quick learner and efficient
7. Able to work well under pressure
8. Qualified candidates should send their resume and portfolio to murni@ideas.org.my.

IDEAS' Social Policy unit is looking for an intern to join our team. The candidate must be available to start immediately and commit for a minimum of 3 months.

Responsibilities will include, but are not limited to:
• Assisting with research activities
• Attending meetings with relevant stakeholders
• Assisting in planning and execution of events
• Assisting in the planning and execution of social media strategies

Requirements:
• Candidates who are currently in university are encouraged to apply. Bachelor’s degree (or equivalent) in social sciences, public policy, political sciences, economics or a related field
• Good interpersonal and communication skills
• Excellent writing skills, particularly in English
• Good knowledge and strong interest of Malaysian current issues
• Must be able to work independently with minimum supervision
• Experience in communications-related work would be an advantage

To apply, please submit the following documents to vaisnavi@ideas.org.my:
1. Curriculum Vitae (including references) and cover letter
2. Transcripts and relevant certificates
3. Sample of written work (in English)

IDEAS Webinar: The Treatment of Non-Citizens during Covid-19
Malaysia has been lauded as an example of a success story in combating the Covid-19 pandemic. While our public health authorities have received well-deserved praise for their handling of the crisis, there have also been concerns regarding the treatment of vulnerable communities such as refugees, undocomented migrants and foreign workers. The Al-Jazeera documentary controversy and the subsequent response by the Malaysian government exposed a dilemma governments face in times of Covid - do we differentiate between citizens and no-citizens? How do we ensure inclusivity in our response to Covid-19 while also recognising that our public services are funded by Malaysian taxpayers? Join us in this webinar to hear our panellists thoughts on this issue. Register here now https://us02web.zoom.us/webinar/register/WN_EvVBc7yvQJaDLak_jVLi2w

Our panellists are:
Lilliane Fan, International Director and Co-Founder, Geutanyoe Foundation
Dr Andika Abdul Wahab, Research Fellow, IKMAS-UKM

Media Statement

For immediate release

IDEAS: COVID-19 as a wake-up call to revive economic competitiveness or risk losing out

- IDEAS organised the 3rd Kuala Lumpur Roundtable (KLR) today to discuss policy choices for Malaysia’s recovery.
- Malaysia’s high regional supply chain integration enables it to become a regional manufacturing hub for high-tech sectors, boosting long-term industrial development and upgrading.
- IDEAS recommends that the government should support measures to enhance MNC-SME linkages so that SMEs can transition out of low-value adding activities.
- Members of the Roundtable highlighted policies to aid in attracting FDI as part of the recovery: better targeting of tax incentives, a sustainable, gradual plan to reduce foreign labour dependence and promote skills and digitalisation, and trade liberalisation, including CPTPP and RCEP ratification.
- The Roundtable also highlighted that a clear, transparent political process is needed to support good policy-making for the COVID-19 recovery.

Kuala Lumpur, 15 September 2020 – The Institute for Democracy and Economic Affairs (IDEAS) hosted the 3rd Kuala Lumpur Roundtable (KLR), attended by several prominent figures in Malaysia’s policy, economic and corporate circles. Given Malaysia’s relative success on the public health front, the discussion centred around Malaysia’s long-term COVID-19 economic recovery strategy, in conjunction with the recent release of IDEAS’ new briefing paper titled “COVID-19 Recovery Strategy: Malaysia as a Regional Manufacturing Hub”.

The paper, co-authored by Lau Zheng Zhou and Natasha Tan, encourages Malaysia to revisit its macroeconomic principles and priorities for post-COVID growth and development. This is especially timely given the current supply-chain relocations, with many firms considering relocating their production hubs, especially to the ASEAN region. Due to Malaysia’s deep integration into existing global and regional supply chain participation, the country is in a good position to attract these FDI flows.

In light of these supply-chain reconfigurations, alongside our competitiveness in specific sub-sectors and relative success in flattening the COVID-19 curve, members of the Roundtable urge the government to take advantage of this window of opportunity to attract much-needed FDI.

Commenting on this issue, Research Manager of IDEAS, Lau, states that “Malaysia should prioritise the development of regionally competitive, high-technology sub-sectors, as attracting FDI in these industries will help form the basis for our long-term development and industrial upgrading. However, investment incentives alone will not be sufficient. We should prioritise a ‘race to the top’ approach in encouraging foreign investment, through fostering good institutions and developing physical and human capital.”

In order to adopt the role of a regional manufacturing hub, there should be a greater domestic focus on nurturing a sophisticated domestic industrial ecosystem in strategic sub-sectors. Yet the lack of compatible SMEs in these industries remains an issue, highlighting the importance of SME upgrading and realignment to better meet the needs of relocating MNCs. The government should continue to support SMEs in transitioning out of low-value adding activities, to better facilitate the creation of a sophisticated supply network.

In addition, the briefing paper draws attention to the weak linkages between MNCs and domestic SMEs. Strengthening the partnership between both types of firms will maximise the spill-over benefits from FDI—including knowledge and technological diffusion—enabling SME supplier firms to increase their competitiveness and resilience.

The KLR members highlighted key action items to achieve this FDI-driven recovery, namely, more explicit targeting of tax incentives, a sustainable, gradual plan to reduce dependence on foreign labour and promote skills and digitalisation, and trade liberalisation, including ratification of the CPTPP and RCEP.

The KLR also highlighted that the clarity and transparency of political processes would need to form the foundation for policymaking that can achieve meaningful reform.

CEO of IDEAS, Tricia Yeoh, comments “Malaysia has an opportunity to demonstrate and enhance its economic competitiveness. This will require making the right policy choices on trade and investment, but also deepening and strengthening the institutional framework for policymaking.”

To download the paper, please log on to https://bit.ly/recoverystrategy

–The End–

For media enquiries, please contact Lau Zheng Zhou at lau@ideas.org.my.

Happy Malaysia Day everyone!

Project Youth: Departing from Malaysia's status quo
by Halmie Azri

The challenging task ahead for bold youths such as Syed Saddiq and his team is to translate interest in politics from mere coffee-shop opinions and online forum discussions into a proper voting bloc.

IDEAS' Researcher, Halmie Azrie, wrote on how “youth party” must not be emotionally hyped by trends, and instead overcome the fundamental equation unique to Malaysia which is the ethno-religious factor.

Read it here: https://www.ideas.org.my/project-youth-departing-from-malaysias-status-quo/.

#MUDAsudahMULA

For those who missed the webinar yesterday, you can catch the recording at our Youtube channel https://youtu.be/vweeX51lQ8Y

https://youtu.be/7SKw5oK8vLI

Apa itu manifesto pilihanraya?

The Sabah state elections taking place on 26 September 2020 will witness the clash among several coalitions and political parties from various parts. The tough competition this time around will show us more of the advantages and disadvantages of each contesting candidate. On 16 September 2020 (Wednesday), Gabungan Rakyat Sabah (PN, BN, PBS), Parti Warisan Sabah (WARISAN), Parti Cinta Sabah (PCS), and Pertubuhan Kebangsaan Sabah Bersatu (USNO) had announced their manifestos.

𝗧𝗵𝗲 𝗾𝘂𝗲𝘀𝘁𝗶𝗼𝗻 𝗶𝘀 𝗱𝗼 𝗽𝗼𝗹𝗶𝘁𝗶𝗰𝗮𝗹 𝗽𝗮𝗿𝘁𝗶𝗲𝘀 𝗻𝗲𝗲𝗱 𝗺𝗮𝗻𝗶𝗳𝗲𝘀𝘁𝗼𝘀? 𝗜𝘀 𝘁𝗵𝗶𝘀 𝗰𝗼𝗺𝗽𝘂𝗹𝘀𝗼𝗿𝘆 𝗳𝗼𝗿 𝗲𝘃𝗲𝗿𝘆 𝗽𝗮𝗿𝘁𝘆?

Watch this video to understand more on 'what is actually an election manifesto?'

*IDEAS Online Discussion: The Future of Malaysia’s Energy Mix*
*2 Oct 2020, 3:00PM*


Balancing an increasing share of sustainable energy without compromising on access, affordability and job creation has been a central concern to policymakers across the world and Malaysia is no exception. In recent years Malaysia has been progressing the use of renewables, in line with international Paris commitments.

But at the same time, Malaysia has also increased its use of coal – despite an abundance of natural gas. It is in this context that the government will now need to consider the future of energy policy as it develops the 12th Malaysia Plan. Investments in the energy sector, such as power plants, are designed to have a useful life of decades, therefore decisions taken today will impact future generations for years to come – how to strike the right balance between sustainability, affordability and jobs? This Online Discussion will cover these issues and a Policy paper by IDEAS on the same topic.

To register: https://us02web.zoom.us/webinar/register/WN_Ap-GnvqTQ_yyrG6Q5tVQyQ

Media Statement
For Immediate Release

IDEAS Urges the Government to Implement a Long-Term Tourism Recovery Plan to Address Malaysia’s Struggling Tourism Sector

1. Tourism is one of the hardest-hit sectors following from the Covid-19 pandemic, with disruption likely to continue for months to come

2. Prior to the pandemic, Malaysia’s tourism sector was already struggling with a lack of innovation, fear of competition and inadequate social protection which has been exposed by the pandemic

3. IDEAS calls for a strategy to address long term weaknesses in the tourism sector, alongside short-term stimulus, including increasing connectivity for tourism SMEs, widening the social safety net and reforming outdated regulations which are holding the industry back


Kuala Lumpur, 28 September 2020 – IDEAS has published Brief IDEAS No. 28, “Tourism Recovery Plan: An Opportunity for Change Post COVID-19”, co-authored by IDEAS senior economist, Adli Amirullah and research assistant, Yohendran Nadar Arulthevan. The tourism sector is currently one of Malaysia’s hardest-hit sectors. The absence of travel and tourists led to a near-collapse of Malaysia’s tourism sector as tourism activities are highly dependent on the movement of people from one destination to another. The Ministry of Tourism, Arts, and Culture (MOTAC) reported estimated losses for the tourism sector in the first half of this year to be around RM45 billion due to the impact of MCO.

IDEAS welcomes the timely rollout of the short-term economic recovery plan, PENJANA by the government which provided the necessary relief to protect workers and businesses but it is also essential that a long-term recovery plan is implemented in the near future. Before the pandemic, tourism was already struggling with a number of structural challenges:

Malaysia’s international tourism numbers have been stagnant compared to regional peers such as Thailand and Singapore and government spending on tourism-related services has been flat;

The industry is suffering from a lack of innovation, with domestic SMEs slow to adapt to new consumer preferences. SMEs in the industry is held back by a lack of internet connectivity, particularly in rural areas and by outdated regulations which do not promote competition;

The tourism industry also demonstrates risk aversion and preference for the status quo, in the face of new disruptive technologies which are transforming the industry.

Finally, the recent pandemic has exposed gaps in the social protection framework with many informal workers not eligible for support.

IDEAS recommends that a long-term strategy be developed alongside the short-term stimulus package. The long-term strategy will need to (i) Promote innovation including by improving connectivity, particularly in rural areas; (ii) Support competition, including by updating outdated legislation and regulation including the Tourism Act; and (iii) Ensure social protection is extended to informal workers to create the space for innovation and mobility.

Commenting on the release of the paper, IDEAS CEO Tricia Yeoh commented that; ”Tourism is one of the sectors which has been the hardest hit by the pandemic and with restrictions on international travel set to continue, the disruption could last for months if not years. This crisis has hit an industry already struggling to adapt to new consumer trends and technologies. A short-term survival plan will not be enough – a long-term strategy is also needed to support the tourism industry – and SMEs in particular – to innovate and compete in this challenging environment.”

The paper, “Tourism Recovery Plan: An Opportunity for Change Post COVID-19” can be downloaded here (https://bit.ly/tourismrecoveryplan)

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For media enquiries: T: +603 2070 8881 E: lau@ideas.org.my