Economist: Budget 2021 Will Carry Initiatives Similar In Nature To PRIHATIN And PENJANA
Author Avatar
malaysia parliament

(Image: Malay Mail)

Economic expert Professor Dr Jamal Othman has opined that Budget 2021 will not see drastic changes from previous national budgets. However, he expects it to carry initiatives that are similar in nature to the PRIHATIN economic stimulus package and the PENJANA economic recovery plan.

Speaking in a discussion on Bernama TV, the professor said that the upcoming national budget will likely still hinge on aspects such as the people’s employment and income. He also said that the government will not place direct focus on the gross domestic product (GDP) of the country. Rather, the GDP will reflect the effect when the government addresses more pressing issues in the country, such as jobs.

“Faced with the Covid-19 pandemic situation, I think the issue of economic growth is not the highest priority; what’s more important is to protect our ability to continue with our lives (as usual), which is inextricably linked to income. Economic growth will come later on,” said Professor Jamal.

Professor Jamal also predicted that the budget deficit may widen from 5.5% to 6% of the GDP, which is not unusual due the challenging global economic situation in 2020. He explained that countries with open economies will naturally be more affected, and this is reflected in the dip in Malaysia’s exports. Consequently, Malaysia must depend on domestic consumption to aid the country’s economic recovery, although this plan may be hindered by the people’s loss of jobs as businesses are forced to downsize for survival.

malaysia

That said, the professor noted that Malaysia’s unemployment rate has been on the decline since the record-high rate of 5.3% in May, indicating the success of the PRIHATIN and PENJANA initiatives that were implemented. As of July 2020, the country’s unemployment rate had dropped to 4.7%.

Professor Jamal – who hails from the Economics and Management Faculty of Universiti Kebangsaan Malaysia – specialises in several areas of research, including economic valuation of environmental resources, commodity market, as well as trade, factor market, and rural economics.

(Source: The Sun Daily)

2.5 2 votes
Article Rating

SHARE

Comments (0)

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments
Top Personal Finance News Articles
Top Personal Finance News Articles
Post Image
Petrol Price Malaysia Live Updates (RON95, RON97 & Diesel)
The RinggitPlus Team
- 24th November 2021
We provide weekly updates on every Friday at 5pm on the prices of RON95, RON97 and Diesel in Malaysia and a chart that shows the movement of fuel prices across a 6-week period. Bookmark this page now!
Post Image
Shopee Introduces SPayLater, Lets Users Buy Items Now And Pay Later
Alex Cheong Pui Yin
- 18th January 2021
Shopee has introduced a new payment feature that lets its Malaysian users purchase items and pay for them […]
Post Image
Best High Interest Savings Accounts In Malaysia (October 2021)
Pang Tun Yau
- 6th October 2021
Make your money work for you by depositing them into the best high-interest savings accounts in Malaysia!
Post Image
Touch n Go RFID: What Malaysian Road Users Need To Know
Jacie Tan
- 10th August 2018
Everyone’s talking about Touch ’n Go RFID being used at Malaysian highway tolls soon – here’s what you need to know about it.

Related articles

Related Posts Image
Related Posts Image
Related Posts Image
Related Posts Image