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Why I support BR1M from BN?

br1m-2014

Set aside the cash handout idea was mooted by me and other netizens at about eight years ago. PR opposition politicians as usual oppose it for the sake of oppose it.

1. The money is disbursed to low and medium groups directly instead of in the form of subsidy. Subsidies in fuel, cooking oil, rice, wheat flour, etc. are abused and enjoyed by foreigners and smugglers. It is estimated that RM7 billion per year of diesel and petrol subsidies are lost to leakage.

2. Less than 30% of those subsidies are benefiting poor Malaysians. Rich Malaysians, tourists and foreign workers are main benefitors from the not well-thought subsidy scheme.

3. The billions petty cash received by 4.8 million households and individuals mostly will be used up immediately which can boost up the money circulation in the market and local economy.

4. Subsidy has distored the market mechanisme with its low price for essential goods and services. People tend to waste cheap commoditioes and services like electricity usage, prescription medicine, and consuming excessive sugar.

The inflation effect on low and medium income groups caused by the reduction of fuel subsidies would be reasonably compensated with the “free money” given to them.

Zero subsidy is only way to stop the leakege of rakyat money because of rampant corruption and poor efficiency in the fuel distribution channel. The subsidy cut is a plucking low hanging fruits approach to save our resources immediately and urgently while fighting corruption is a long-term approach to minimize all sorts of leakage in the government machinery.

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