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Subsidies to go! Cut the wastage, curb the leakage, halt the commissions, pay up the debt!
Malaysian Socialist Party (PSM) Press Release - May 31, 2010
The PSM condemns the government for leading the country to the brink of bankruptcy with its stated debt of RM362 billion and fiscal deficit of RM47 billion, and for seeking to exonerate themselves by laying the blame on the cost of subsidies. The PSM denounces the government's show of consulting the people after squandering away the money, having never consulted people on how the money should be spent in the first place.
The PSM feels that given the circumstances under which the subsidies are given, and the financial constraints faced by 60% of Malaysian households, the existing subsidies should be left alone, or removed only if sound alternative measures are in place.
A living minimum wage act
Subsidies for low-income households with a combined household income of less than RM3,000, are not presents given out of the goodness of anyone's heart. For the working people, subsidies compensate somewhat for the government's low-wage policy and the reality of high living costs.
The PSM maintains that if subsidies to this layer of society which constitutes 60% of households are withdrawn, a minimum living wage law must be enacted first. Without such a law to ensure that the producers of wealth are paid a just wage, it would be completely irresponsible of the government to do away with subsidies.
A reliable public transport system
The fuel subsidy should be removed in view of our fast depleting resources and in the interest of the environment. However, serious efforts must first be taken to establish an efficient and cheap system of public transport that will offer people an alternative. The fuel subsidy can go after that.
Subsidised healthcare and education
It is the responsibility of the government of the day to provide quality healthcare and education, cheaply or at subsidized rates to the people. To highlight the RM42.8 billion ringgit subsidy on these as among the factors contributing towards the government's debt is puzzling. Has the government been borrowing to spend on healthcare and education? How about the budget allocation on these two items?
The PSM has always held that these services should remain nationalized, and that measures should be taken to further develop them.
Cut the wastage, curb the leakage, halt the commissions!
At least as far as subsidies go, the public know for sure how RM74 billion is spent a year. The Malaysian people have benefitted from it and surely, no right thinking person can have anything against that.
What all of us should be up in arms against is the huge amount of money that is stolen from us through corruption and wastage. These are a far more important cause of our budget deficits. The illegal and astronomical award of kickbacks, the billions siphoned off in high-powered corrupt deals, the numerous white elephants in the country - all these and the criminals behind them should be stopped.
Cut the wastage, curb the leakage, halt the commissions - pay up the debt!
Released by Rani Rasiah
Deputy Secretary General
Parti Sosialis Malaysia
Tel: 019- 5638464
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