havent gt a chance to read through, just few key notes.
1. We are still in deficit! with central government debt mounting to 388,053 million ringgit, the current 2010-2011 budget still short of 46162 million ringgit. which is 6.79% of GDP.
2. Petro dollar still account for about 18000 million ringgit, take that out you will have a budget deficit of 64000 million ringgit ot 64 billion ringgit. if the government continue to build up deficit in this pace we would have a central government debt reaching 100% of GDP in 5-6 years time, thanks to petro dollar, we will have it in 8-10 years time. Yeah, wawasan 2020.
Some comment
1. Some of the project should have done 10 years earlier, like the Klang valley MRT project.
2. Some shouldnt be done even if 10 years late, even if not gov but GLC money , like the menara merdeka ....
3. The one that should be most worry about deficit is not private individual, but government servants. In 5 or 10 years time, You either saw your savings loosing value in real term due to inflation or Ringgit depreciation, forced to have your salary cut, work harder, or have your KWSP fund returning lower interest rate.
4. We always have hope that we can grow out of trouble , grow out of gov deficit.
This may not be the case with sluggish global economy growth in upcoming years.
unmo
5. should i underline some of the principal beneath my comment? See my new blog in J"knowledge world. jinqwem.blogspot.com
