Friday 29 August 2008

Why should investors consider Malaysia?

I remember when the Government first announced the RM625 rebate, I was told by someone (not sure if it is my friends or my mom) that I should quickly go and get it. That someone quickly add that "you never know when the Government would change their minds".


I am not surprised. The Government flip flopped firstly on fixing the mechanism where petrol prices adjust on monthly basis by setting a petrol price ceiling of RM2.70 per litre. Next, the Government announced on 22 August 2008 of 15 sen reduction to the same petrol price last Saturday when the PM himself earlier said it will only be adjusted from 1 September onwards.

I am sure we are all too familiar with all the policy flip flips going on in this country. So what is the point of this Government giving a bill of guarantee for companies granted with MSC status? Can the rakyat be confident this will not change? Or what if they decide to make their changes retrospective and it would be a criminal offense as well? The DNA bill controversy is the best example of how disturbing our Executive branch has become.

I seriously don't blame investors holding back their investments and instead invest in other riskier countries. At least they can be certain in those countries of what the risks are. Here, it is something new everyday.

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