AUGUST 7 — Malaysia is a rich nation, blessed with abundant natural wealth and few disasters. Unfortunately the wealth of the nation has not been shared with the majority of the people, especially the poor. The top 20 per cent of Malaysians own 60 per cent of the wealth of the nation while the bottom 40 per cent a mere 13 per cent.
Over the years, since our independence, wealth disparity between the richest and the poorest Malaysians has widened considerably.
Previous governments have proudly declared that poverty has been eradicated in Malaysia and that it is one of the lowest in the region. Our Department of Statistics quotes an incidence of poverty in Malaysia as 0.4 per cent in 2016. The monthly household income figure used to calculate our national poverty rate is RM920 per month.
This current poverty line used in Malaysia is ridiculous. It is impossible for a family of two adults with 2-3 children to survive on RM900 per month. It is to our shame that we manipulate facts and figures to hide the poverty of the people of Malaysia.
Poverty is especially devastating to children as they are the most vulnerable to its effects. Many children in our country die due to chronic malnutrition, directly or indirectly.
Irreversible long term health and education inequalities are the consequence of poverty; perpetuating the cycle of poverty in the next generation. Our health services remain grossly underfunded affecting the service delivered to those that require critical care.
We elect a government to support the people, especially those in need. But when we hide our poverty we ignore the key work that the government must focus on.
For comparison, Japan (since we are looking east again) has a national poverty rate of 15 per cent. In Japan, poverty is defined as the income of a household at or below half of the median household income — according to Organisation for Economic Co-operation and Development (OECD). This figure of 15 per cent, in a very developed nation, makes our proud rate of 0.4 per cent ludicrous.
If we were to apply this more meaningful definition of poverty, from the OECD, then our median household income would be approximately RM2,600 per month for a family of two adults with 2-3 children; still tough to survive on but much more realistic. This better definition would mean that our true rate of poverty in Malaysia is at least 40 per cent.
There are many groups of Malaysians who live in poverty. Firstly there is the abject poor who comprise our Orang Asli, Penan populations and also some inner city poor. Their numbers may be small in terms of percentage of the population, but these Malaysians live day to day just trying to keep their children fed and alive.
Then there is the larger group of Malaysians who are just barely making ends meet; they comprise more than 30 per cent of our population. Many of these parents have to hold two jobs and some children have to work after school. They have no respite. No savings. No luxuries. No holidays. Little hope.
Amidst this poverty of 40 per cent of our people is the luxury of many leaders. All over the country we have numerous examples of extravagant state buildings and complexes built at enormous cost. There is no pride in such structures, only shame. While the people struggle our leaders live in affluence.
We would like to ask the new government, that we voted in, to truly start with a new Malaysia. Let us be meaningful in uplifting the entire nation, especially those in the bottom 40 per cent economic bracket. We would like to suggest a few measures and directions.
Firstly and immediately, redefine poverty so that we can recognise the biggest challenge for the nation to overcome. A more meaningful index for poverty in Malaysia would be as used in OECD countries (50 per cent of median household income).
Secondly, as it has been voiced by some ministers, have an economic policy that supports the poor regardless of their ethnicity. Supporting the poor will truly help shape the Malaysia of the future and allows us to share the wealth of the country.
Thirdly please abandon and avoid mega projects that benefit rich businessmen with little impact to the common man. There are many spendthrift government activities that can be trimmed.
For example, reduce showy government functions with matching T-shirts and lavish meals in hotels that are so wasteful of government expenditure. Please let’s build smaller offices, more environmentally friendly facilities so that the money can go to uplifting the poor and entire nation in real terms.
We have a lot of work ahead of us to rebuild our nation.
Let us make sure the one of the primary priorities is to truly eradicate poverty from our nation.
If Malaysians continue to remain in poverty we as a nation have failed.
* This is the personal opinion of the writer(s) or publication and does not necessarily represent the views of Malay Mail.
