Sabah to Save Malaya

The cat is out of the bag, the RMK10 is now out in the open.  It is however not a complete plan, some will be revealed in stages. This reflects the “inclusiveness” and comprehensiveness of the thinkers behind Najib.  As the saying goes, there is always a first time for everything.  Najib is not doing anything new; in fact RMK10 kills the momentum set in the National Mission, he does not even realize that!

Once again the RMK10 shows that, it is the government who is spending and not the private sector.  It is as if the government’s coffer is bottomless.  Even the 10.1% growth in the first quarter is disputed.  Therefore if there are limited funds for development, projects and programs identified must be prioritized and the billion ringgit questions, where will the money comes from?

The traditional trading partner such as the United States is faced with problem of their own.  Their unemployment figures is not coming down anytime soon this means demand for goods from Malaysia is not increasing anytime soon as well.  In this scenario where is the money to fund development is coming from.  Is this perhaps the reason to increase the foreign labor levies and giving out gaming license?

Sure, Najib can impose higher levies on foreign workers and he may get some of the money for development but this approach may as well start killing the palm oil plantation sectors in Malaysia.  In my opinion, money from gaming is not a solution as well.  Two wrongs do not make one right.

Without consumer demand from the US means Malaysia will have to depend on commodity trades, these include Oil and Gas and palm oil.  Imposing higher levies means effectively taking palm oil out of the equations.  As the result, Malaysia can be in an even worse position than now.

The issue here is not to focus and obsess in finding money for development.  The point I am trying to get across is that Malaysia should seek new market for Malaysian products especially those produced by Malaysian Small and Medium Enterprises (SME).

If Najib is really an avid reader of of Blue Ocean Strategy he should have known that most of the market in the world today is Red Ocean.  The US market is the reddest of them all.  Why need to flog a dead horse?

Najib has to look closer at home to find his Blue Ocean

I am talking about the BIMP EAGA.  BIMP EAGA has 60 million populations easily three times the size of Malaysia.  Assuming 20% of the population holds 80% of the wealth there is 12 million people who have money to spend.  Where there are people there is market.  BIMP EAGA promise at least a market of 12 million– This is your Blue Ocean!!

Sabah today imports 58% of its goods from Malaya.  This is to service 3 million people in Sabah.  The imports amount to at least RM16 billion per year.  By opening the BIMP EAGA your market in ringgit can go up to RM48 billion annually.

This is far greater amount compared to imposing higher levies or giving gaming license (much cleaner, I may add).

The main issue is how to make this happened.

I suggest you ask a friend of mine who has studied this issue for the last 16 years.  You can read about him in


About sifusiber
A husband & a father who wants his children to have a better future

8 Responses to Sabah to Save Malaya

  1. medresher says:

    I’m really agreed with ..”Malaysia should seek new market for Malaysian products especially those produced by Malaysian Small and Medium Enterprises (SME)..” this is how we are going to get more money effectively, not by imposing whatever rule and regulations..

    • sifusiber says:

      The problem in Malaysia today is that too many people are only interested in “taking”, very few people are doing the “building”. If this continue Malaysia is doomed to default it debt. MITI is not use to developing new market, they are only comfortable to traditional market. The problem is that traditional market is buying less and less our industries (esp SMEs) need new outlets. Forget about the MNCs they can look after themselves.

  2. lderple says:

    Saya cuma harap Najib dapat lakukan tugasnya dengan baik. Setiap keputusan yg diambil pasti menimbulkan pelbagai spekulasi namun saya harap semuanya akan OK nanti 🙂
    all the best Najib.

    • sifusiber says:

      Kita seharusnya berhadapan dengan realiti dan sanggup menerima cabaran masakini. Keputusan terbaik terlalu subjektif. Cabaran global seperti yang dihadapi sekarang tidak bergantung dengan spekulasi, namun kenyataan yang jelas dihadapan. Sebelum kita berharap kepada pasaran tradisi kita harus berani menerokai pasaran yang lain. Kawasan BIMP EAGA tidak dipedulikan sejak 16 tahun yang lalu. Ia seharusnya diterokai sekarang utuk mengekalkan dayasaing IKS Malaysia.
      Sekiranya IKS juga gagal maka mencapai 12%pertumbuhan industri dalam tempoh RMK10 hanya angan-angan belaka.

  3. analyst06 says:

    Sifu, but the BIMP EAGA is so poor. They are coming to Sabah to work and look for money, how can these people afford the consumer products from Malaysia? and what about the pirates around the Sabah waters, will trade be able to pass them?

    • sifusiber says:

      This is the perception of a lot of people. Its perception, it is not real. The reality is that they have labor and our plantation needs their labor. Therefore they come to Sabah. Companies have been opening large tracks of land in Kalimantan, our plantation now is planning for the day that they will not get any labor from Indonesia anymore. The reason they are not coming to Sabah anymore is because the plantation in Kalimantan is giving them the same pay as in Sabah.
      The pirates scare is just that a scare. Manila knows that if the economy of Mindanao takes off, it will overtake Manila. The same as Sabah and KL and Kalimantan, Sulawesi and Jakarta. These periphery states is not develop is because of the possibility that their economy can overtake the Capital cities.
      Now its not just the people demanding, the national economy is demanding. The Capital cities cannot suppress these demand if they want to remain relevant.

  4. agmustakim says:

    I love the way you write here Bro, right to the point. But do you think Najib will think about it? This is because in order for Malaysia to do this means they have to abolish the Cabotage Policy. UMNO may still need the side money from MCA given by the shipping cartel.

    • sifusiber says:

      Thank you, I cannot explain everything to Najib, I think the best person to do that is my friend. I wish Najib all the luck in the world when he deal with this guy. Najib may be the PM of Malaysia but this guy is a true blooded Sabahan and very passionate about BIMP EAGA.

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