MBAKL network » Inflation

Months of big surprises ahead

Azmi Taufik — Thu, 01 Jan 2009 08:45:45 +0000

We are leaving behind us year 2008 which was full of ‘not so good’ events both locally and globally. The most terrible thing is the price of groceries and goods that has hiked so much in the last quarter and does not seem to come down in early 2009.

Below is a list of five grocery items which I found has increased to more than 20% recently compared to the price in June or July 2008.

Item………………..June 08 Price …….. Dec 08 Price……..Increase (%)

1. Biscuits (1kg)      RM10.00                   RM13.00                    30%
2. Soya source    RM3.80                      RM5.70                        50%
3. Peanut Butter RM8.50                  RM10.50                    24%
4. Margarine             RM2.50                    RM3.30                       32%
5. Rice (10kg)           RM19.00                   RM26.00                      37%

The above list is an indication of inflation faced by us today. This is the reality of our economic problem that has not been properly addressed by our government.

The bad news is that the price of goods is not coming down although the price of fuel (petrol & diesel) has been lowered to RM1.80 by the government. In the first place the government had failed to forsee this problem when they made the decision earlier in June 2008 although many quarters had opposed the idea of steep fuel price increase.

Until today no convincing steps and enforcement has been done by the government to bring down the price of everyday goods. We the rakyat are made to suffer by the government that we chosed. These politicans and leaders are good at talking only with no actions to help the rakyat.

With the impending global economic turmoil I believe we will yet to face more big surprises in the next few months of 2009. More retrechment will take place and inflation will keep creeping to hike our goods to much higher price.

Recession is hitting us earlier than expected

Azmi Taufik — Mon, 22 Dec 2008 08:06:11 +0000

It seems recession is going to hit our shores much earlier than expected by our government. As reported by TheMalaysianInsider.com.my our trade partners US, China and other Asian countries business are slowing down much faster. Several banks already estimated that our economic growth for next year will be between 0.5 and 2.0 percent, a figure of very much lower than 3.5 percent which was forecasted earlier by the government.

What worries us is the narrowing trend of our trade surplus as report by Morgan Stanley which expected the growth will be only 0.5 percent.

Although strategic measures are being forked out by the Minstry of Finance to minimise the impact as reported, I feel our PM or DPM should annouce to the public these measures to avoid uneasiness among the people.

Is economic turmoil hitting our shores soon?

Azmi Taufik — Sun, 19 Oct 2008 02:38:13 +0000

The effect of Wall Street free fall is taking its toll to bourses around the world. Our KLSE index were also affected and had dipped further to 905.23 point on October 17, which is the lowest so far. The worst is yet to come since more than 30% of our exports are for the US market. With high inflation begins hitting the US population it will not be long for our export to US will be slowing down.

If this really happens then will the factories and manufacturing plants for the export market lay-off their workers? How many thousands of them will be affected and jobless?

The sudden increase of fuel price from RM1.92 to RM2.70 in lat May not only has decreased our purchasing power but also left many petty traders and small contractors to wind up their business. And to add salt to the injury the price of goods had rised so much in the following months and failed to drop even when the price of fuel has been reduced to RM2.45 recently.

The price of goods are not likely to come down (I believe it will not happen anyway), plus the possible impending global recession that will hit our shore soon we have yet to hear any measures from our new Minister of Finance. I hope that MoF and Bank Negara will implement the best strategy and action plans to cap the recession thay may hit us in the coming months and next year.

I don’t want to be one of the people to line-up to receive hand-outs from NGOs or government agencies when the the turmoil hit our shores. Do you?

The people choice is clear – we want change

Azmi Taufik — Wed, 27 Aug 2008 06:35:43 +0000

Thank you to all Permatang Pauh voters for voting a new dawn in Malaysian history. Your votes spoke on behalf of the Malaysian majority;

We want a change in our country directions – we are losing our competitiveness to Thailand, Vietnam, Cambodia, etc. The inflation hit the highest point in 28 years! What a waste to our unemployed undergraduates.

We want Malaysia to be a better place to live for our family and future generations – when can the house break in, robberies, snatch thefts and other crimes statistic be reduced or better still to put them to a stop.

We want our children of all races to live together without harboring a racist mindset - No more racial divide. I just long the time during my earlier schooldays when we played and enjoy the school together.

… the list is endless, but we want the first three to be fulfilled first.