Stupidities of Subsidies in Reducing Poverty and Sabah's Discrimation
The Star Online: Federal territory folks get basic necessities at subsidised prices.
https://www.thestar.com.my/news/nation/2022/10/15/federal-territory-folks-get-basic-necessities-at-subsidised-prices
(“I heard about this from my friend. The price is worth it and the fish are fresh. (I find that) this is beneficial to help us save. It is also easy as we don’t have to go (far) as that would be expensive with the cost of transport and items are more expensive,” said general worker R.Mageswary.)
How much does he actually save? At most rm5 for his daily meals of chicken, which is actually a luxury. Worse, this rm5 saving is taken out of the GDP (productivity) of Malaysia, and the actual tax payer's money spent is higher than rm5 even for a poor person like him.
This article is just a corrupt journalism. Notice the missing details. Only meaningless percentages are given. What this journalist, or better, a propagandist, failed to mentioned, wealthy people can save more than rm15 per day because they can afford to eat more per day than the poor people.
These ruch people are wasting their money on food that they do not need simply because they are cheap.
It eould be better for him to get cash of rm5 per day, so he can get rm150 per month. Instead of buying chicken and eggs he can eat more dhal and other food items that are cheaper but just as acceptable to him than chicken and eggs.
If the price of chicken and eggs were so high, it will give him more incentive to rear chickens like the pre-subsidy era. But now, the poor will have no chance to get the subsidy to tear chickens, all the subsidy money go to the selected privileged few and places who received the money.
I say places because Sabah apoears to get the least money despite hosting the largest number of poorest people in Malaysia and in fact in the whole world. When Capex is allocated 6% despite having a population of 12%, because Capex is supposed to give priorities to the poorest states.
Giving 6% to a population of 12% is certainly a lie. It is only half of the rest of Malaysia. Beware of the word Malaysia, because for all intents and purposes Sabah has never beeb considered as Malaysia.
With 40% of poverty occurring in Sabah, the discriminatory act against Sabah is even worse. 6% development money for 40% poverty.
If Capex for Sabah, is only 6%, I bet Opex is only 3%, because it is not deemed a priority. No wonder Sabahan roads are the worst in the world. Somalia, the second poorest in the world according to one index, has much better road.
40% of the poor in Malaysia is in Sabah. This is for those earning less than rm1500. B40 is for those earning less than rm5000, so very different.
Sabah's poverty rate is 20%, depending on who quote the figures, from 7% to 20%, but Sabah is still the poorest in Malaysia for sure, in all sources. Let us use 10%. It means 0.3 million poor out of 3 million(actual 3.4).
It means that 0.75 million total in Malaysia. 0.4 x 0.75 = 0.3.
6% CAPEX for Sabah allocated despite having a poverty rate of 40%.
This appears special for CAPEX that any intelligent person should know is not really for poverty eradication. But this unfair distribution is also true for ALL specific case of poverty eradication EXPENDITUREs in Malaysia.
I am sure of one specific case, for fishermen. Despite having the most poor people, especially fishermen due to the long coastline for Sabah, Sabah was allocated the 3rd.
I assume this is true for all other cases because no other Sabahan, either journalist, politicisn or NGO voice any comment let alone any objection.
Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz speaks during a press conference at Parliament in Kuala Lumpur on October 7, 2022. — Picture by Firdaus Latif
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Friday, 07 Oct 2022 8:27 PM MYT
KUALA LUMPUR, Oct 7 — The 2023 Budget is allocating a record RM95 billion in development expenditure, from RM75.6 billion last year and RM64 billion in 2021.
"While the 2023 Budget showcases the highest ever development expenditure of RM 94.3 billion, RM6.3 billion of it being allocated to Sabah looks good on the surface as the amount has increased compared to last year.
"However, it is not the fairest ratio when compared to the bulk of RM94.3 billion as it only accounts for 6.68 percent of it.
"Whereas in the 2022 Budget, Sabah was allocated RM5.2 billion from the total RM 75.6 billion of the DE, which was 6.9 per cent.
"It is disappointing to learn that the allocation has been slashed in the 2023 Budget," he said in a statement.
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