Govt Linked Companies (GLCs) – Monsters in the house?


Politicians should not be appointed to run government-linkedv companies (GLCs) to keep graft in check, said Malaysian Anti-Corruption Commission Advisory Board Chairman Tunku Abdul Aziz Tunku Ibrahim.He  said politicians holding GLC positions might face conflicts of interest, ading to abuse of power and responsibility.

ABOUT a month before Malaysia’s  parliamentary election in May,
then-opposition leader Tun Dr Mahathir Mohamad raised concerns over the
role that government-linked companies (GLCs) were playing in the
economy, being “huge and rich” enough to be considered “monsters”.

Data support his description – GLCs account for about half of the  Benchmark Kuala Lumpur Composite Index, and they  constitute seven out of the top-10 listed firms in 2018. They are present in almost every sector, sometimes in a towering way. Globally, Malaysia ranks fifth-highest in terms of GLC influence on the economy.

Calls to do something about GLCs have   increased since the election following the  release of more damning information, although most of it relates to the GLCs’ investment arm: government-linked investment companies (GLICs).

Some experts have proposed the formation of an independent body with
operational oversight for GLICs, after institutional autonomy is established and internal managerial reforms are introduced. Unlike most GLCs, GLICs are not publicly listed and face little scrutiny. The same applies to the various funds at the constituent state level, which need to be looked at too.

For GLCs, the answer is less straightforward. PM Tun Mahathir claims that GLCs have lost track of their original function. Before the Malaysian government decides on what to do, it needs to examine the role GLCs should play – as opposed to the role they currently play – and to examine their impact on the economy.

In Malaysia, GLCs were uniquely tasked to assist in the government’s affirmative action program to improve the absolute and relative position of bumiputras. The intention was to help create a new class of bumiputra entrepreneurs – first through the GLCs themselves, and then through a process of divestment.

Given the amounts of money involved and the cost of the distortions introduced, the benefits to bumiputra were unjustifiably small and unequally distributed. The approach of using GLCs as instruments of affirmative action failed because it led to a rise in state dependence, widespread complacency and even corruption, as Tun Mahathir himself recognised in his memoirs, A Doctor in the House, and again more
recently. There is also empirical evidence that GLCs have been crowding out private investment, a concern raised in the New Economic Model as early as 2011.

Additionally, the new government has correctly highlighted the need to include certain off-balance-sheet items and contingent liabilities, such as government guarantees and public-private partnership lease payments, in any complete assessment of debt outstanding. The use of offshoot companies and special purpose vehicles (SPVs) in the deliberate reconfiguration of certain obligations mean that traditional debt calculations underestimate Malaysia’s actual debt.

All these factors combine to place new impetus on reconsidering the extent of government involvement in business. Divestment will not solve  Malaysia’s debt problem, but it can help if there are good reasons to pursue it. So how should the government proceed?

It is important to recognise at the outset, that there is a legitimate role for government in business – providing public goods, addressing market failures or promoting social advancement. And like in most other countries, there are good and bad GLCs in Malaysia. If a GLC is not crowding out private enterprise, operates efficiently and performs a social function effectively, then there is no reason to consider  divestment. But a GLC that crowds out private investment in a sector with no public or social function, or one that is inefficiently run, should be a candidate for divestment. In this regard, one has to carefully study why GLCs should be present in retail, construction or property development, for instance.

In assessing performance, one needs to separate results that arise from true efficiency, versus preferential treatment that generates artificial rent for the GLC. The latter is a drain on public resources and a tax on consumers. Divestment in this case, will likely provide more than a one-off financial injection to government coffers – it will provide
ongoing benefits through fiscal savings or better allocation of public resources.

The divestment process should be carefully managed to ensure that public assets are disposed at fair market value, and does not concentrate market power or wealth in the hands of a few. This has allegedly happened with privatisation efforts in the past.

The new government has committed itself to addressing corruption and improving the management of public resources. As part of this process, one must re-examine just how much government is involved in business. This is one of the many tasks that the Council of Eminent Persons is undertaking in the first 100 days of the new government.

To be done correctly, would require a careful study of GLCs and their impacts. This could then rejuvenate the private sector while enabling  good GLCs to thrive, and fortify Malaysia’s fiscal position in the process. This is what Malaysians should expect – and indeed demand – of the “New Malaysia”.

Jayant Menon is Lead Economist in the Economic Research and Regional Cooperation Department at the Asian Development Bank. This is an abridged version of an item that first appeared on the East Asia Forum.

Jayant Menon The Sundaily

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Benefits of Korean unification likely to be internal


Although there’s still uncertainty over prospects for peace on the Korean Peninsula, it seems that South Korea is highly optimistic about the economic aspect of its cooperation with North Korea.

North Korea has a population of about 25 million. The largest city, the capital of Pyongyang, has about 3.2 million people and other cities generally have populations of about 300,000. The country’s per capita GDP is a mere $530.

By comparison, with a population of 51 million, South Korea boosts per capita GDP of more than $27,500. But South Korea’s economic growth is believed to have peaked, and its export-oriented growth model has run into trade protectionism.

If the hypothesis of merging and unifying North and South Korea were true, South Korea’s population would increase by 50 percent. In light of this, although North Korea’s GDP is a negligible fraction of that of South Korea, there is a chance that South Korea could see a 50 percent rise in its GDP that now adds up to $1.4 trillion. With a GDP of more than $2.1 trillion, a unified Korea would have an economy half the size of Japan’s, or larger than the economies of Brazil, Italy or Canada.

South Korea’s economy is dominated by family-owned conglomerates known as chaebol, with the top 10 chaebol accounting for a hefty part of GDP. Economic growth is seen mainly benefitting big chaebol such as Samsung and Hyundai, which in theory would have the opportunity of maintaining a fairly high rate of wealth growth over the next 10 years.

An assessment of Asia’s economic future based upon the hypothesis of Korean unification indicates that it would be hard for Japan, China and even the US to derive any meaningful economic benefit from such an outcome.

North Korea’s abundant pool of cheap labor and its market eager to see wealth growth will mostly benefit South Korea. In the past, China used to host a certain number of North Korean workers, but that was during an era when North Korea was blockaded by the outside world and could only rely on China for foreign-currency earnings.

If Korean unification, or to be exact the two nations’ economic unification, becomes a reality, the situation will change. In this case, China or Japan will be just onlookers.

China might even find itself challenged by a unified Korea with lower costs in the world market. Japan might fare slightly better, considering its technological advantages and traditional partnerships with South Korean business groups. The benefits the US would get from unification would be limited or nil, taking into account uncertainties about its geopolitical interests.

For the world economy with total GDP of more than $70 trillion, Korean unification is likely to boost global growth by 1 percent. But much is still uncertain if this scenario is to play out.

North and South Korea still face tough obstacles including ideology, capital, nuclear weapons and internal political stability on the path toward genuine unification. The outcome also depends particularly on US political moves. Nevertheless, amid uncertainties there seems to be one certainty: The only way to avoid risk is to have the foresight to make future-proof plans.

By Chen Gong Source:Global Time

The author is the chief research fellow with Beijing-based private strategic think tank Anbound. bizopinion@globaltimes.com.cn

 

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US-China trade war escalates, tariff list aims to hinder China’s high-tech development: expert


China will impose 25 percent in tariffs on 659 US goods worth $50 billion, including soybeans, cars and seafood.

The move came as a tit-for-tat response to the tariffs announced by the Trump  administration Friday morning. An expert  said the US decision does not aim to tackle the trade deficit with China but to block the Chinese government’s efforts in high-tech development.

Tariffs on 545 US goods worth $34 billion will take effect on July 6, involving agricultural products, car parts and seafood, according to a statement released by China’s Ministry of Commerce (MOFCOM) on Saturday morning. Soybeans, which are China’s biggest import from the US in value, are on the list.

Chemicals, medical equipment and energy products from the US will also be subject to 25 percent tariffs, which will be announced at a later date.

The revised list is longer and involves more categories of products than a preliminary list of 106 US goods published by the ministry in April, but the total value of the products remains at $50 billion.

A Chinese commerce expert found that aircraft were removed from China’s new list, which is noteworthy.

“We need aircraft [from the US]. We have to consider the costs of the countermeasures we plan to take,” Bai Ming, deputy director of the Ministry of Commerce’s International Market Research Institute, said on Saturday soon after the Chinese tariffs were announced.

It’s like acting as a soccer referee who will not call out the offenses and let the play continue when the game still benefits the attacking team even though an attacking player is fouled, Bai further explained.

China is one of the fastest-growing civil aviation markets in the world, and 15 to 20 percent of Boeing’s aircraft deliveries are projected to end in the Chinese market over the next two decades, according to Morgan Stanley.

The US has kept changing their mind and ignited a trade war, which China does not want and will firmly oppose, a spokesperson of the MOFCOM said immediately after US took trade measures on China. “This move not only hurts bilateral interests, but also undermines the world trade order.”

“China and the US still have hopes of negotiating and reaching an agreement, as both the tariffs announced by the two countries will not take into effect until next month,” said Wang Jun, deputy director of the Department of Information at the China Center for International Economic Exchanges.

Wang told the Global Times that the removal of aircraft from the new list can be a signal that China still wants to talk, and also aircraft can be a valuable chip in the next round of trade negotiations.

Meanwhile, Wang said the Trump administration’s newly published list is not so much a solution for the trade deficit problem with China as efforts to hinder China’s technology development.

US President Donald Trump on Friday announced 25 percent tariffs on $50 billion in Chinese goods, containing industrially significant technologies related to China’s “Made In China 2025” strategy.

According to a list published by the office of the US Trade Representative, the tariffs will be applied on more than 1,000 types of Chinese goods, including aircraft engine parts, bulldozers, nuclear reactors and industrial and agricultural machinery.

American industry also opposed Trump’s decision.

“Imposing tariffs places the cost of China’s unfair trade practices squarely on the shoulders of American consumers, manufacturers, farmers, and ranchers. This is not the right approach,” US Chamber of Commerce President and CEO Thomas J. Donohue said in a statement posted on the chamber’s website on Friday.

By Zhang Ye Source:Global Times

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MCA had no room to say ‘no’, down but not out: HSR cancellation should have followed due process


 

In the driver’s seat: Dr Wee is widely seen to be the next to helm the party. — ONG SOON HIN/The Star

HIS office is a small room with a great view of the capital city’s central business district. Within its four corners, MCA deputy president Datuk Seri Dr Wee Ka Siong is racing against time to plan the road ahead for the embattled party.

He is now MCA’s sole Member of Parliament after winning the Ayer Hitam seat in Johor.

The party also won the Titi Tinggi and Cheka state seats.

MCA contested 39 parliamentary seats and 90 state seats in the May 9 polls. The defeat has been bruising and Dr Wee has spent the last three weeks charting the road ahead for the 69-year-old party.

“Changing government is not a nightmare, not an impossible thing and can be done overnight,” says 50-year-old Dr Wee in his first media interview after the polls.

He adds that all is not lost following the party’s worst outing, and said MCA is ready to pick up from where it fell, and evolve as a completely reformed and independent entity.

“Our party is now our priority and not the coalition like before.

“There is no more political baggage. In the past there was no room to say ‘no’ or you would be deemed as going against the coalition’s whip.

From his office on the 9th floor of the MCA headquarters in Wisma MCA, Dr Wee says his major task is to put up a team that can move forward to rebuild the party.

“I have been encouraged by people to take up the challenge to provide the leadership, and I am duty-bound to do so,” he said during an interview.

Party president Datuk Seri Liow Tiong Lai announced that he would not seek re-election at the party polls this November, and Dr Wee as his deputy and sole survivor of GE14 is widely seen as his successor.

Dr Wee, a civil engineer who joined MCA in 1992, rose to become the party’s Youth chief in 2008 and deputy president in 2013.

MCA is the second largest component party of Barisan Nasional which lost its hold on the government for the first time since Independence in 1957 following the crushing defeat in GE14.

As one of three MCA ministers in the last four years, the former Minister in the Prime Minister’s Department explains that the party, bound by the Barisan Nasional spirit, seldom spoke openly on what transpired in the Cabinet.

This, unfortunately, was perceived by people that MCA had not been able to speak up for them or do anything for them.

Dr Wee said the perception had been compounded by negative statements on MCA and the Chinese community made by other Barisan component party leaders.

Statements which openly ridiculed the Chinese community and renowned figures like Robert Kuok and even MCA as a party in the run-up to the polls were certainly damaging.

The damage control also did not help at all.

“Saying that such issues had been voiced out or dealt with in the Cabinet were grossly insufficient.

“Some justice needs to be done and seen to be done.”

Dr Wee conceded that the Barisan spirit had also turned into a form of constraint on MCA and a baggage most of the time in a modern society where people demand openness and action against issues deemed unfair to the community.

At times, he adds, this “behind closed doors diplomacy” was done with the intention of not wanting to prolong an ugly episode and also to preserve harmony in a multiracial society.

“But obviously, this did not augur well for us.”

Going forward, Dr Wee says the role of the party is how to be an effective Opposition and provide the check and balance in the new regime.

He says he believes this is what the people want from the party and what the party can do for them now that it is in the Opposition.

Dr Wee says he will also be going to the ground to identify the party’s weaknesses and drawbacks that contributed to the defeat of the party.

He points out that these constitute important feedback in the party’s bid to reform itself and move forward.

The MCA central committee – the party’s highest decision-making body – has appointed him to helm the party’s reform committee following the GE14 defeat.

Dr Wee envisages a team of young and talented MCA leaders that can take on the new role of an effective Opposition in a new set-up.

The party, he adds, can provide a platform for them.

He says universal values, public policies and the party’s core struggle will remain the foundation.

Dr Wee also says the party will be rebuilt on all levels.

For instance, he says the party will be preparing for local elections (councillors) as the Pakatan Harapan Government has been pushing for it prior to GE14.

On Chinese education and Chinese new villages, of which MCA has been the guardian since its inception in 1949, Dr Wee says he hopes the new Government can do a better job in taking care of the two institutions close to the hearts of the Chinese.

He is willing and ready to provide help and cooperate with the new Government in the two areas upon their request.

“We (MCA) do what is best for the people. We exist because of the people.”

On the scrapping of two mega projects like the High Speed Rail between Kuala Lumpur and Singapore (HSR) and MRT 3 announced by Prime Minister Tun Dr Mahathir Mohamad just 22 days after Pakatan Harapan took over Putrajaya, Dr Wee feels the decisions needed in-depth study.

On the merits of HSR, he notes that Kuala Lumpur and Singapore are the two busiest Asean cities, and boosting their connectivity would be a step in the right direction and for mutual economic growth and benefits.

He points out that there are more than 30,000 flights between the two cities a year.

The HSR was scheduled to be completed in 2026, and it would have been just a 90-minute ride between the two cities.

The 350km track, which was to start in Bandar Malaysia in Kuala Lumpur and end in Jurong East, Singapore, would have passed through stations in Putrajaya, Seremban, Melaka, Muar, Batu Pahat and Iskandar Puteri.

On the MRT 3, Dr Wee said the people are enjoying the convenience of MRT 1 and looking forward to MRT 2 which is under construction.

Like any other big city in the world, Dr Wee said, MRTs are the desired mode of transportation.

He hopes the Pakatan Harapan Government can reconsider the scrapping of MRT 3 for the sake of the eight million Kuala Lumpur folk and the development of the capital city.

By Foong Pek Yee The Star

MCA think-tank: HSR cancellation should have followed due process – Centre For A Better Tomorrow (Cenbet)


 

CENBET – Centre For A Better Tomorrow  says the cancellation of the Kuala
Lumpur-Singapore High-Speed Rail should have been announced after the
cabinet’s approval in accordance to due process. – The Malaysian Insight
pic by Najjua Zulkefli, June 1, 2018.

THE cancellation of the Kuala Lumpur-Singapore High-Speed Rail project should have been made by the cabinet prior to its announcement as a matter of good governance, said the Centre For A Better Tomorrow (Cenbet).


The think tank said while it supported the new government’s efforts to review potentially wasteful projects and lopsided deals, such decisions should have followed due process.

“If decision on a RM110 billion mega-project can be made without stringent due process, we are worried that this may set a bad precedent in deciding other government projects.

“Such decision undermines institutional integrity which should have never been compromised for political expediency,” said Cennbet co-president Gan Ping Sieu in a statement today.

Based on news reports, Dr Mahathir Mohamad’s May 28 announcement to call off the project was made after chairing his party’s supreme council meeting and not in his capacity as prime minister announcing a Cabinet decision.

Transport Minister Anthony Loke was also reportedly said that the matter was not discussed in a cabinet meeting prior to the Prime Minister’s May 28 announcement that the project would be shelved.

“Rightfully, cancelling a project of such magnitude, involving transnational interests, ought to have gone through a more structured decision-making process. This includes preparing a cabinet paper and getting feedback from all relevant agencies and state governments,” explained Gan.

He pointed out that the federal constitution was clear that the cabinet is the highest executive body and the manner in which the announcement was made contradicted the spirit of accountability and transparency pledged by the new federal government.

“The eventual May 30 cabinet decision can be perceived as an afterthought and clearly without going through sufficient consultation,” said Gan.

He added that institutional decision-making process was an integral part of good governance, which Cenbet promotes.

“All major national decisions must be made by the cabinet after due process and consultation to prevent abuse of power and leakages,” he added. – Bernama, June 1, 2018.

Source: The Malaysian Insight

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Co-president Gan Ping Sieu –CENBET – Centre For A Better Tomorrow   MCA Think Tank

MEDIA STATEMENTS
Co-President Gan Ping Sieu on the Cancellation of the HSR Project

Friday, June 01, 2018

The cancellation of the High Speed Rail project should have been made by the Cabinet prior to its announcement, as a matter of good governance. While we support the new government’s efforts to review potentially wasteful projects and lop-sided deals, such decisions should have followed due process.  >> read more


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BTN up in the Air, the writing is on the wall for BTN


Video:

https://www.thestar.com.my/news/nation/2018/05/29/the-writing-is-on-btns-wall-controversial-agency-has-a-good-chance-of-being-shut-down/

In the 44 years since it began, the National Civics Bureau has evolved into a racial and propaganda machine of sorts. The Biro Tatanegara may
be in its last days as the Government plans to review its relevance in multiracial Malaysia.

 The writing is on the wall for BTN

PETALING JAYA: The days of the National Civics Bureau or Biro Tatanegara (BTN) seem numbered with the Government to look into whether it should keep or abolish the controversial agency.

Prime Minister Tun Dr Mahathir Mohamad said BTN and several other government bodies had been turned into political tools by the previous Barisan Nasional government.

“All this will be studied, we may maintain or abolish it. We found that there are many agencies which have been set up not (to benefit) the government but Barisan; but they use government money to pay salaries,” Dr Mahathir told a media conference after chairing the Parti Pribumi Bersatu Malaysia supreme council meeting.

Dr Mahathir, who is Pribumi chairman, was responding to a question on the fate of BTN following the Government’s move to abolish several other taxpayer-supported bodies, namely the National Council of Professors and the Special Affairs Department (Jasa).
Set up in 1974 to promote patriotism, BTN has come under fire over the years after numerous complaints about it promoting racial hatred.

The Pakatan Harapan Government in its election manifesto has pledged to dissolve the agency which it said had become a political agent for Umno.

PKR vice-president Nurul Izzah Anwar said the abuse of BTN by the previous government was possible grounds to shut it down.

“How many propaganda and brainwashing agencies do we require? BTN has not done much to inculcate a sense of patriotism or belonging,” she said.

The bureau’s director-general Datuk Ibrahim Saad could not be reached for comment.

BTN, which is under the Prime Minister’s Department, conducts courses for civil servants, government scholarship holders and selected students from colleges and universities.

According to DAP adviser Lim Kit Siang, the budgets for BTN multiplied 10-fold in the 1990s (RM200mil) compared to the 1980s (RM20mil), and continued to increase.

From 2010 to 2015, the allocation for BTN totalled some RM365mil.

Veteran journalist Datuk A. Kadir Jasin said it would not be surprising for the bureau to be shuttered.

“If BTN performed a political task and if the Government has already decided to close down other (similar) agencies such as Jasa, then I would imagine that it’s not hard to predict that BTN would or should suffer a similar fate,” said Kadir.

The Pakatan election manifesto stated that Umno and Barisan had abused government programmes to spread narrow ethno-religious politics to influence youths.

“The Pakatan Harapan Government will dissolve the bureau, which over the years had become a cheap political agent for Umno,” it said.

PKR Youth leader Nik Nazmi Nik Ahmad, who has called for a shutdown of BTN, recounted his own experience with it.

He was a student when he attended one of the BTN camps back in 2003.

“I found the whole affair racial and political in nature. (There were) racial, religious bigotry and hatred against PKR, PAS, and DAP mainly.

“BTN was formed for political purposes. It is outdated. Schools, hospitals and universities need money, so let’s prioritise,” he said.

MCA publicity spokesman Datuk Seri Ti Lian Ker said a thorough review of BTN should be conducted before a decision is made.

“There are institutions we can save instead of just being shut down. We need to ensure they are independent and free to pursue positive progressive ideas,” he said.

Ti said a number of institutions started out well but was hijacked along the way by the political masters.

“A lot of this happened during Dr Mahathir’s time, so it is good for him to remedy these issues,” he said.

Umno information chief Tan Sri Annuar Musa said the Government could do what it wished with the bureau.

“My view is very simple; they have the mandate, they are free to do it,” said Annuar.

Parti Rakyat Sarawak president Tan Sri James Masing said the functions of BTN needed to be reviewed in order to reflect Malaysian society.

“The multiracial nature of our society must be strengthened and reflected in every nook and corner of our nation. No one race can claim ownership of this nation,” he said.

Sarawak United People’s Party Youth chief Michael Tiang said any agency that promoted racism and intolerance should be reviewed or even abolished. “Racism and intolerance are never part of the Malaysian spirit,” he said.
Souces : The Star by razak ahmad, sharon ling, hemananthani sivanandam, rashvinjeet s. bedi, hanis zainal, n. trisha

BTN course was a nightmare, says participant

PETALING JAYA: She penned down her experiences attending a team-building course with Biro Tatanegara (BTN) in her diary. And it was not pleasant.
Sahana, as she wanted to be known, recounted how one of the lecturers had picked on her physical appearance.
During one session, the lecturer even poked fun at some of the participants as a way of engaging the class.
“He would say things like ‘ah yang pendek tu, bangun (you, the short one, stand up).”
“I as seated next to an Indian girl when he pointed at my direction. When
I turned to the girl next to me, he said ‘ awak lah, yang hitam, besar tu’ (you, the dark and big sized one) to indicate that he was directing the question to me,” said Sahana, who is now a communication executive.
Sahana, 36, was a first year college student then. Her college had informed the
students that they had to attend a series of lectures and team building
exercises at a camp in Johor.
“We were looking forward to it because we were there with our peers and it was a
long trip away from home. For some of us, it was our first excursion out
of state so we were excited,” she said.
However, the excitement did not last long. The lecturer’s comments embarrassed
Sahana, who cried in class but others including the lecturer just
laughed at her.
“I already had this complex about being a plus size, so naturally, when remarks like that were made, it really hurt me.
“It was a big hit to my self-confidence,” she said, adding that she felt that being dark skinned and large was a big sin.
Sahana wondered why physical appearance and skin colour were highlighted at
the camp that was actually meant to teach participants values and instil
patriotism.
Sahana also found insensitivity when it came to food being served as beef was given to them.
“Not that I am complaining but it made me wonder back then; how a Hindu,
Buddhist or vegetarian would survive when beef was the main dish
served?” she asked.
A parent wrote to The Star to complain that her son was “hounded” for being Indian.
“Throughout the five-day course, he and other Indian participants were constantly
hounded about the actions of the Hindraf movement.
“His friends and him are not supporters nor sympathisers of the group. Yet,
they felt disappointed at the way the instructors kept harping on the
issue at every turn and opportunity,” the mother wrote.
Another parent echoed the sentiment, saying that participants were repeatedly
reminded of the “social contact” in the formation of the country.
“Throughout the five days of the course, participants are repeatedly told not to
question Malay rights and so on,” said the parent, adding that even
Malay friends of the family were upset by the programme’s content.
There, however, were praises for the programme.
“I must say that there were many great people there, especially the
facilitator in my group. I have heard many unpleasant things about it
and I don’t understand why.
“During my stint, I learnt many things from my facilitator, not only of a better
understanding of Malaysia but also the spirit of a Malaysian.
“We, the non-Malays, really appreciated him as our facilitator. We never
felt aggrieved or hurt. Through him, we learnt unity, not disunity,”
wrote a participant.
Another participant wrote of learning more about Malaysia at the programme.
“I learnt more of our own country while having a great time throughout the
activities and group-learning sessions filled with good values,” the
participant said.
How many propaganda and brainwashing agencies do we require… BTN has not done much to inculcate a sense of patriotism or belonging. – Nurul Izzah, PKR vice-president

If the BTN performed a political task and if the Government has already decided to close down other (similar) agencies such as Jasa (Special  Affairs Department), then I would imagine that it’s not hard to predict that BTN would or should suffer a similar fate. – Datuk A. Kadir
Jasin, veteran journalist

I found the whole affair racial and political in nature. (There were)
racial, religious bigotry and hatred against PKR, PAS, and DAP mainly. –
Nik Nazmi Nik Ahmad, PKR Youth leader
There are institutions we can save instead of just being shut down. We need to ensure that they are independent and free to pursue positive progressive ideas. – Datuk Seri Ti Lian Ker, MCA publicity spokesman

‘Move to shut down BTN unreasonable’

PETALING JAYA: While the National Civics Bureau or Biro Tatanegara (BTN)
has drawn flak over the years, there was an effort to improve the body.Umno member Datuk Lokman Noor Adam, who was involved in BTN, said complaints against the bureau had prompted the Government to set up a panel about three years ago to seek improvements.Lokman, who was on the panel, said new modules were then drawn up for BTN.He hit out at the current Government, which he claimed was out to shut
down all agencies perceived to have strengthened the position of Barisan
Nasional.“I am sure that their next target will include Jakim (Department of Islamic Development Malaysia), Mara, Tekun (Entrepreneur Development Centre), Mara Junior Science Colleges, Universiti Teknologi Mara and others,” said Lokman.

Former Kepong MP Dr Tan Seng Giaw, who was also on the panel to rebrand
BTN, said the bureau needed to represent the country’s plural society.“This is 2018 and yet there are Malays, Chinese and Indians whosay racial things. So I told the panel – let’s try to reduce this.“Let’s emphasise tatanegara, which means the discipline of a nation. Let’s make this whole thing non-racial.”He said he was not sure whether his suggestions were subsequentlytaken up, adding that other panellists also gave some good ideas.Dr Tan said BTN should only be closed if efforts to change it failed.

“If we are to shut down everything we don’t like, then why not close ministries and everything else?

“If it is impossible to revive the BTN, then it is reasonable to shut it down. But this is not a question that it cannot be revived but of getting the policy right,” said Dr Tan.

 

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American Ban on ZTE offers much food for thought & pain together with ZTE


This photo taken on April 19, 2018 shows the ZTE logo on a building in Nanjing in China’s eastern Jiangsu province.AFP/Getty Images
Video

//players.brightcove.net/2111767321001/default_default/index.html?videoId=5764045273001
 

Ban on ZTE offers much food for thought

The US ban on sales of chips and components to China’s telecommunications company ZTE shocked Chinese society. Some Chinese people are furious at US behavior, others think ZTE deserves it, while some advocate Beijing take it as a warning and boost the country’s domestic semiconductor industry. Some are more pessimistic and feel China cannot beat the US in a trade war.

The ZTE case can be argued as a show of high-tech hegemony by the US. It is absurd for Washington to pull this maneuver at the eleventh hour simply because ZTE failed to cut bonuses for its 35 employees as promised. The logic works for US society and the West is watching the case for fun. But certain Chinese people are also taking pleasure in it.  This is the reality.

It must be admitted that the US is powerful and it has started to punch China hard. The rise of China has reached a juncture where Beijing has prompted Washington to ponder its status as the world’s No.1 and provided a somewhat disjointed West with a reason to strengthen its solidarity. The impulse to contain China’s rise is emerging among Western elites. Radical and even risky policies toward China are gaining increasing support.

China needs a strong will, an open mind and the capacity to fight back. Through political solidarity and a robust economy, Beijing should be tough enough to withstand the slings and arrows. China needs to incubate and shape strategic technology research and development.

The reason why chip technology has experienced such limited progress despite years of advocacy is that the Chinese system has not yet formed a key driving force for it.

Beijing must develop its “nuclear weapons” in the field of economics to make the outside world fear strategic confrontation with China.

China should also make friends worldwide, including Western nations, so as to unite all the forces that can be united. It must not overly focus on gains and losses in friction with others. Beijing must protect its interests, but in the meantime it cannot isolate itself doing so.

China needs to accept diverse opinions on the internet, governing them but also adapting to them so as to prevent online opinions from impacting on society’s overall judgment and confidence.

It is hoped that China will develop a greater core competitiveness which other countries cannot match. This is an expectation of all Chinese people.

American business to pain together in ZTE case

The US government sales ban of American components to the ZTE Corporation will surely inflict significant damage to the company. However, the pattern of globalization shows that not only will the US not secure a victory, it will also suffer a harsh blowback. The US stock market came to a similar conclusion, and media from around the world calculated that the US’ future losses will be significant.

Qualcomm is a major mobile chip supplier for ZTE mobile phones. According to Reuters, Qualcomm will be harmed during this strike because ZTE is an important client, and its competitors could benefit from ZTE choosing alternative manufacturers. Furthermore, Qualcomm might suffer more setbacks when China retaliates on the US for this ban.

According to studies by various media organizations, the full implementation of the seven-year sales ban on ZTE will amount to combined loss of $6.8 billion for Qualcomm, Acacia Communications, and Oclaro Inc. It will also affect more than 32,000 employees. Due to this estimation, Acacia Communications stocks dropped 35.95 percent this week. Additionally, Intel and Microsoft will be hit by shockwaves in the tech industry.

Over the years, China has grown to become the largest sales market for US electronic chips, providing US companies with substantial funds for research and development. Losing the Chinese market might cause these US companies to decline in quality, which could result in a bleak financial future.US semiconductor companies are facing real threats as they will likely be taken over by their opponents.

The US will also be hurt from increasing suspicions to its business environment. The US government ended ZTE’s business dealings with American companies by force, due to “35 employees’ bonuses issues” for the company with 80,000 employees. Is the American business environment still trustworthy? Does this not imply that the US government can bully whoever it wishes? Cooperation with American companies is already difficult and being reviewed by the US government for political correctness will not make matters easier.

Some Westerners criticize the risks of doing business with Chinese companies, but not one multinational company has experienced the same mistreatment ZTE has been subjected to. The proper name for ZTE’s case could be called “35 people bonus crisis” and if this is what starts the cooperation breakdown between the US and China, or globalization in general, it will be one of the most bizarre jokes in history.

China will hit back in the best way it knows and inflict losses for American companies in China. Washington should not have any delusions of tolerance from China after causing such damage to its businesses.

With China and the US trading blows in this situation, the US economy and trade relations will delve into chaos. Investments of American companies in China far exceed Chinese companies in the US, meaning that the US has more to lose since these investments will not be spared during this fight.

Most importantly, Chinese society will lose faith in cooperation with American high-tech companies. The “35 people bonus crisis” will also serve as a push for China determination to develop its semiconductor industry to replace America’s components.

China will endure a sting in the high-tech sector confrontation, but the US will suffer lasting pain. China has been slow to develop its semiconductor technology because it is cheaper to purchase American products in the past. Developing chips and operating systems will require massive market support and China’s yearly import of $200 billion can definitely cover the funding for this research.

The consequences of punishing ZTE is now out of Washington’s control. The intertwined economies of China and the US are like “conjoined twins” and separation will cause major pain for both sides. Washington’s thinking that this is a unilateral punishment is naïve, and this short-sighted judgement will be paid at the expense of American companies and enterprises. – – Global Times
Related  

Why China cannot concede in trade war

Washington has unrealistic fantasies about “balancing
China-US trade.” It tries to solve US economic issues with sticks and
threats rather than painstaking reforms. Simply put, it attempts to make
a hard sell. The world is required to buy whatever the US produces at
its convenience, and developing countries like China cannot make
technological progress in the process.

China to open wider: How will US react?

If Washington thinks China’s upgrade of its opening-up
was triggered by US menaces, it is making a historic mistake in its
relationship with Beijing. Whether the Sino-US trade war is aggravated
depends on Washington. It is hoped US actions accord with Trump’s
pleasant tweets rather than more old carrot-and-stick

Opening-up China’s future growth path

The community with shared future for mankind is a goal of
China to lead the world forward into the future. The Belt and Road
initiative is one of the paths toward it. The world has never seen a
major power emerging with a peaceful and cooperative manner. Some people
say that China is only pretending to rise peacefully. After Beijing’s
new measures were announced at Tuesday’s forum, the world should have
gained a better understanding of China.

Trump’s car tariff tweet distorts truth

With the development of China’s economic growth and
strength of science and technology, further opening-up and lowering of
tariffs will be the future trend. But how China will do this will be
decided based on WTO rules and China’s own interests. This is China’s
sovereignty. Beijing will never listen to the command of Washington.

 

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What parents need to know about VR ?


The hottest tech in videogames is virtual reality. Find out its potential effects on kids before buying a headset.

 

VR can make you think and feel things you know aren’t real. —Dreamstime/TNS
EVERYONE who’s tried it agrees: virtual reality is mind-blowing. Once you strap on that headset, you truly believe you’re strolling on a Parisian street, careening on a roller coaster, or immersed in the human body exploring the inner workings of the oesophagus.

But for all its coolness – and its potential uses, from education to medicine – not a lot is known about how VR affects kids. Common sense Media’s new report, Virtual Reality 101: What You Need to Know About Kids and VR, co-authored by the founding director of stanford University’s virtual Human Interaction Lab, offers a first-of-its-kind overview of the expanding uses for the technology and its potential effects on kids.

Now that VR devices from inexpensive viewers to game consoles to full-scale gaming arcades are finally here – with lots more coming soon – it’s a good idea to start thinking about how to manage VR when it comes knocking at your door.

VR can make you think and feel things you know aren’t real. Other media can give you the sense of “being there” – what’s called psychological presence – but not to the extent that VR can. This unique ability is what makes it so important to understand more about the short- and long-term effects of the technology on kids. Here are some of the key findings from the report.

Even though we don’t yet have all the answers to how vR affects kids, we know enough to consider some pros and cons. And whether kids are using vR through a mobile device like Google Cardboard, on a console like the Playstation vR, on a fully tricked-out desktop rig like the Oculus Rift, or at a mall arcade, these guidelines can help you keep any vR experience your kids have safe and fun.

Pay attention to age ratings. Check the recommended age on the headset package and don’t let younger kids use products designed for older kids. The minimum age isn’t based on medical proof of adverse effects on the brain and vision, but it’s the manufacturer’s best guess as to who the product is safest for.

Choose games wisely. Because the vR game experience can be more intense than that of regular games, it’s even more important to check reviews to make sure the gameplay, the content and the subject matter are appropriate for your kid.

Keep it safe. A few precautions: Once you have the goggles on, orient yourself to the room by touching the walls; stick to short sessions until you know how you’re affected by vR; stay seated if possible; move furniture out of the way; and have a second person as a spotter.

Pay attention to feelings – both physical and emotional. If you’re feeling sick to your stomach, dizzy, drained, or sad, angry, or anxious – give it a rest for a while.

Talk about experiences. since vR feels so real, it’s an excellent time to talk through what your kid has experienced in a game. Ask what it felt like, what the differences are between vR and regular games, and how vR helps you connect to other people’s experiences by putting you in someone else’s shoes.

Find opportunities; avoid pitfalls. Don’t let your kids play vR games that mimic experiences you wouldn’t want them to have in real life, such as using violent weapons. On the other hand, take advantage of vR that exposes kids to things they wouldn’t normally get to see, feel, and learn, such as visiting a foreign country.

Keep privacy in mind. Devices that can track your movements – including eye movements – could store that data for purposes that haven’t yet been invented. — Common sense Media/Tribune news service.

Star2 Technology  by Caroline Knorr

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