Najib slams claims that govt is selling Malaysia's sovereignty to Beijing

Kamles Kumar Kamles Kumar Updated 8 years ago · Published on 23 Jan 2018 1:14PM · 8 Comments

PRIME Minister Najib Razak has defended his administration’s close ties with the Chinese government, amid claims that Malaysia’s sovereignty is being sold off.

He said such claims were baseless and made by political opponents, and it was a fact that foreign direct investment (FDI) from China was much lower compared with other nations.

“When it comes to FDI, by the way, you may have heard some irresponsible politicians scaremongering about FDI from China, saying we are selling our sovereignty.

“I know that the well-informed and well-educated audience here today recognises what baseless nonsense this is. My government will never sacrifice an inch of our sovereignty,” he said in his keynote address this morning at Invest Malaysia 2018.

Najib, who is also finance minister, said Japan had a much higher FDI compared with China.

“Perhaps, I can also take the opportunity to remind you that, while over time, we have had RM63 billion in FDI stock from China and Hong Kong, we have had more – RM70 billion, in fact – from Japan, and you don’t hear anyone warning that we are selling our country to the Japanese!”

It was reported that Najib had said Japan was the top foreign investor from the 1980s and the second-largest behind Singapore.

Former prime minister Dr Mahathir Mohamad was responsible for the influx of Japanese investments during his 22 years in power.

Now, the 93-year-old is among Najib’s staunchest critics, claiming that the current prime minister is selling the nation’s sovereignty to China.

Najib today said Chinese investments were a two-way street, and that they varied from time to time, including Malaysia investing out.

“Remember that Malaysian investment into China used to be bigger than Chinese investment into Malaysia, and that we have more Malaysian investments overseas than FDIs in this country.

“So, this is a two-way street. FDI levels vary over time, and such connections are part of, and key to, a healthy and diversified economy.”

There has been a rise in the number of Chinese projects in recent years, including the East Coast Rail Link, at a cost of US$13 billion (RM51 billion), Malacca gateway (US$10 billion) and Forest City in Johor (US$100 billion). – January 23, 2018.

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Comments

  • The Japanese build factories that hire local workers and export their products. The Chinese buy real estate and bring in their workers. Its amazing how shameless Najib is making shallow arguments - in front of people who has a brain..

    Posted 8 years ago by Bigjoe Lam · Reply

  • ASEAN nations have to find ways to respond to the ‘new normal’ of shrinking global trade, the withdrawal of the United States from the Trans-Pacific Partnership, and anti-globalisation sentiment.



    “This is the problem that the ASEAN countries have to face. Slower economic growth will have an impact on job creation and poverty rates.”

    So what can be done?



    “Jean-Claude Juncker, the President of the European Union, said that all of us know very well what we should do in terms of reform, we just don’t know how to be re-elected after we’ve done it.”

    Posted 8 years ago by Satkunabalan K Sabaratnam · Reply

    • You have a point. Malaysia should free up its economy to ALL citizens, level the playing field and REMOVE all forms of racial economic discriminations. Then we can create jobs for all. Currently many Malaysians instead prefer to expand overseas where they were given incentives (as FDI) which were denied to them in their own country.

      Posted 8 years ago by Malaysian First · Reply

  • Chinese Malaysians were considered less Malaysians because of the perceived threat of China to Malaysia. That is why Chinese education was and perhaps is considered a stumbling block to building up this nation. The government still refuses to recognize the certificates of the public examination organized by the Independent Chinese schools whereas universities and institutes of higher education overseas accept them for whatever they are worth. The government claims that the non-recognition had to do with government education policies. Perhaps only Malaysian government links recognition of academic certificates

    Posted 8 years ago by Meng Kow Loh · Reply

  • Only government of Malaysia links recognition of High school certificates to government policies whereas all other governments consider certificate to be an indication of academic achievements. Thus, there is a discrimination based on the language used, Chinese. Consequently, it is the government policies which mold the citizens to distrust anything Chinese. Now that China has become a rich country, a speed faster than Malaysia can ever be, and China seems to be throwing a lot of money into Malaysia, as if wasting it, people tend to think that perhaps it is buying up Malaysia. Besides it cannot be denied that China's companies bought up land at Bandar Malaysia just at about the time1MDB faced cash flow problems. The distrust is caused by the government.

    Posted 8 years ago by Meng Kow Loh · Reply

    • Aiyah, its simple. China does NOT have a department like DoJ who "kacau-kacau". As long as one is "friend-friend", they can overlook and close their eyes on anything!

      Posted 8 years ago by Malaysian First · Reply

  • Here is my rejoinder to Najib's statement: Really? Japan has more FDI than China?

    Posted 8 years ago by Peter Chen · Reply

  • Najib says that China has FDI of 63 billion, and Japan 70 billion invested in Malaysia. So a total of RM 133 billion is added to the total equity capital in the country. Malays have to invest RM 40 billion more in order to keep up with their target of 30% equity share capital in the country. Otherwise, Malays’ equity share capital will never reach the target, not because of non-Malays share of investments, but because of foreign investments in the country. Clearly non-Malays cannot be responsible to bear the continued NEP burden just because Malays cannot compete with the world. Razak promised to end NEP after 20 years, and he envisaged that Malays would have achieved 30% share capital in the corporate sector, then. UMNO made use of ‘irrelevant statistics’ produced and claims that 30% equity capital share on the current year basis has not been achieved. Had the government been fair the non-Malays, NEP and its related policies should end in 1990, and any shortfall in terms of equity should be made good by other mean. They could have raised a bond overseas to buy share for distribution to Malays, for example.

    While Abdullah Badawee was still PM in 2006, he disputed the findings undertaken by ASLI that Malay's share capital had exceeded the 30% target. The government’s argument was that the share capital should be based on nominal value, and government linked companies share capital had nothing to do with Malays, though they add up to the total equity capital in the country. Like the example stated about FDI, the more government invests, the further would be for Malays to achieve the 30% target. That was how official statistics have been misused for political advantage. We hear news about FELDA's business interests here and overseas. Clearly FELDA owns a lot of assets and business in the country and overseas. Are FELDA settlements’ land holdings added towards Malays’ equity capital? How about the investments made by FELDA? When NEP talks about Malays' ownership of share capital, shouldn’t FELDA's overseas investments featured in the computation of Malays' achievement in owning share capital?

    If Pakatan Harapan ever comes to power, it has to be fair to all Malaysians. The first task would be to honour the promise of the Prime Minister Tun Razak made in 1970 to end NEP, now that it is 28 years overdue. PH government should get a reputable body, including ASLI's participation, to compute on the actual share of equity capital owned and held in trust for Malays, in the corporate sector in Malaysia. The bench mark data on total equity share capital should be based on that in 1990, when NEP was to end. If Malays’ equity share capital now falls short of 30% of the total equity in the country in 1990, that should be made good by the government, and accept that NEP targets have been achieved.
    Mahathir had the opportunity to make a Malaysian PM, but he chose to be a Malay PM. Anwar Ibrahim should consider the above proposal and tell us his decision.

    Posted 8 years ago by Meng Kow Loh · Reply