
The RM2.5bil giveaway that Malaysia cannot afford
However, beyond the headline figures lies a more complex and fragile reality. Analysts have pointed out that Q1 growth underperformed market expectations. Exports remain uneven. Domestic consumption is cooling and Bank Negara's recent rate cut reflects the underlying weakness that persists despite upbeat official messaging.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles

Barnama
34 minutes ago
- Barnama
Malaysia To Ensure ASEAN Unite For Regional Stability And Peace
KUALA LUMPUR, July 29 (Bernama) -- Malaysia will ensure that ASEAN will be stronger and move in step or in tandem for global stability, prosperity and peace, said Prime Minister Datuk Seri Anwar Ibrahim. He said Malaysia is committed to driving the implementation of the Regional Comprehensive Economic Partnership (RCEP), accelerating the ASEAN Power Grid and finalising the ASEAN Digital Economy Framework Agreement to ensure an open, fair and sustainable economic future for the 660 million people in the region. "Therefore, ASEAN will continue to speak out, ensure harmony and lead with determination, and not just follow the global order," he said in a Facebook post today. The Prime Minister said the world is currently beset by great power tensions, a gruelling geo-economic race and the collapse of multilateralism. Anwar said in this regard, ASEAN must not weaken, divide and lag behind but must unite to strengthen ASEAN's role and ensure that the region's voice continues to be respected. For example, he said Malaysia as the 2025 ASEAN Chairman has led efforts to reconcile Cambodia and Thailand, two neighbouring countries that were almost dragged into a more serious conflict. "With the active involvement of China and the United States, we have succeeded in reaching an agreement on an immediate and unconditional ceasefire. "This is proof that diplomacy must underpin our efforts to embody peace and firm leadership," he said. Anwar, who is currently on a working visit to Indonesia, also announced that he was appearing for the first time at the ASEAN Secretariat Building based in Jakarta in conjunction with Malaysia's important role as ASEAN Chairman this year.


The Sun
3 hours ago
- The Sun
Malaysia and Indonesia strengthen ties with key agreements in annual talks
JAKARTA: Malaysia and Indonesia solidified their bilateral ties with several key agreements during the 13th Annual Consultation held in Jakarta. Prime Minister Datuk Seri Anwar Ibrahim highlighted the signing of four memorandums of understanding (MoUs) covering border issues, health, information and communication, and internet governance. 'We touched on various important issues including a US$30 billion bilateral trade target, investment cooperation in Ibu Kota Nusantara (IKN), as well as smoother cross-border access facilities in Entikong,' Anwar said at a press conference. He emphasised Malaysia's commitment to being a trustworthy partner in renewable energy, infrastructure, and technology, with Sarawak positioned as an export hub. On maritime boundaries in the Sulawesi Sea, discussions were guided by international law, particularly the UN Convention on the Law of the Sea (UNCLOS). 'Our spirit is to safeguard each other's interests while respecting the boundaries established in accordance with international law,' Anwar explained. Security cooperation was also a focal point, with both nations agreeing to enhance efforts under the Trilateral Cooperative Arrangement (TCA) to maintain peace in the Sulu and Sulawesi Seas. Anwar reiterated Malaysia's strategic focus on the Straits of Malacca and the South China Sea, stressing that regional stability should be determined by regional players. Regarding the case of Indonesian businessman Mohd Riza Chalid, Anwar stated that Malaysia is prepared to cooperate within legal frameworks. 'We have only been informed in general terms and have not received any clear information regarding the matter,' he said. Reports indicate that Chalid, a suspect in a corruption case linked to PT Pertamina, is allegedly in Malaysia.

The Star
6 hours ago
- The Star
Asean must focus on building a more integrated and resilient economy, says Anwar
JAKARTA: It is imperative that Asean focus its energies inward, towards building a more integrated and resilient economy in facing today's global economic headwinds, says Datuk Seri Anwar Ibrahim. In his policy speech delivered at the Asean secretariat here on Tuesday (July 29), the Prime Minister, who is also the current chair of the grouping, said the region is home to a vast and vibrant market of 660 million people. "The potential is undeniable but to realise it fully, we must narrow the existing development gaps and forge stronger, more equitable economic linkages across member states,' he said. According to Anwar, at the 47th Asean Summit in Kuala Lumpur, Asean will once again demonstrate its collective commitment towards improving the unimpeded flow of goods within the region. "Through renewed efforts to reduce tariff and non-tariff barriers, we are taking meaningful steps towards creating a more seamless and dynamic Asean economic community that works for all," he said. The Prime Minister said the Regional Comprehensive Economic Partnership (RCEP) is central to this vision. "As the world's largest trade agreement, it reinforces Asean's role as the linchpin of regional economic architecture. "We expect the 5th RCEP leaders' meeting to also take place on the sidelines of the 47th Asean Summit, thus presenting an opportunity for us to ensure that RCEP delivers tangible benefits for our businesses, workers and communities,' he said. Anwar also said the grouping looks forward to strengthening its position in an increasingly competitive global economy. "We must also do more to ensure that businesses can operate with confidence and clarity across our borders,' he added. The Prime Minister said the success of the Asean-GCC-China Summit is a clear signal that Asean is ready to build new bridges and unlock new partnerships. "It also reaffirms our shared determination to shape a future based on mutual respect, shared growth and strategic cooperation." Anwar said the digital economy will be a key driver of Asean's next phase of growth. "That is why the region is increasing efforts to conclude the Asean Digital Economy Framework Agreement while modernising existing trade agreements with strategic partners, including China, India and South Korea," he said. These efforts reflect Asean's readiness to embrace change and position the grouping at the forefront of digital transformation, he added. According to Anwar, Asean must be an agent of change - one that has the capacity to shape the global rules and norms to remain open, inclusive and firmly rooted in the principle of justice. He said Asean's commitment to regionalism and multilateralism remains the anchor of the region's collective stability and progress. "As an outward-looking organisation in a multipolar world, Asean must continue to punch above its weight by broadening its global partnerships. "Deepening ties and strategic links with diverse partners is not a choice - it is a strategic imperative. But we should engage as equals. And above all, we must be the speakers and not the spoken for,' he added. Anwar is currently in Indonesia for a two-day working visit for the 13th Malaysia-Indonesia Annual Consultation. Earlier, he was welcomed by Indonesian President Prabowo Subianto at Istana Merdeka in Central Jakarta. Both leaders then proceeded to a one-on-one meeting to discuss a range of bilateral issues. - Bernama