Several notable non-governmental leaders express mixed reactions towards the Budget 2007 unveiled by the prime minister today.


Dr Denison Jayasooria, executive director Social Strategic Foundation (YSS)

The budget will leave people feeling good - there is something for the ordinary man that impacts him immediately.

The budget speech raises two relatively new and welcomed moves namely encouraging corporate social responsibility and encouraging the best brains to Malaysia. The raising of the ceiling for tax deduction of contributions by the private sector to charitable organisations from five to seven percent encourages companies to be involved in a caring society.

The budget however lacks a commitment to resolving the problem of urban property. Much of the focus has been on rural poverty but there is no programmes at a micro level to tackle problems faced by the poor and low income earners in densely populated areas.

In view of the increasing questions posed on national unity, it was a disappointment that there was no renewal of interest in strengthening race relations. Since there are no new allocations or emphasis on forging stronger ties, it is a missed opportunity.

In terms of awarding scholarships for straight-A students with family income less than RM1,500, it is timely and appropriate. The support provided is crucial so that poor students will not feel alienated or marginalised.

The introduction of Tamil classes to national schools would need to be seen through its implementation over the next five to 10 years. The selection of schools would be important as it should be in areas of high Indian population.


SM Mohd Idris, Consumers Association of Penang

We are pleased that the government has abolished exam fees. This is good news for parents especially in light of the costs of living we have. As for the books and computer rebates having been increased, this only benefits those who spend over RM1,000 on books and those who purchase new computers.

We are disappointed that the government has only decided to raise 20 sen per pack on cigarettes because this would do no good in getting people to stop smoking. We have always thought that the best way to make people stop smoking is to raise it by a large amount all at one go.

As for alcohol, the government should ban the 150ml bottles of alcohol rather than just increase the price of large bottles. These bottles are cheap and affordable and they should not remain so.


T Indrani, CEO of Federation of Malaysian Consumers Associations (Fomca)

I think the budget this year is more demand-set. As the PM said it is meant to expand and fuel the domestic economy. He spoke of increasing the number of low cost housing. We welcome this move but the increase on low cost housing does not mean an increase in the quality of life. If there's no maintenance, no social support or no school - even the poor people will not have a better life.

We welcome the abolition of exam fees. This bides well for low income families and it enables more children to take exams.

We also welcome the move to award scholarships to students coming from families with a household income of RM1,500 and below. But 60 percent of the population are in urban areas. What we have now is urban poverty and it's not realistic to expect a couple to be earning RM750 each. We think it should be RM3,000 so as to include those in urban poverty.


Anthony Thanasayan, spokesperson for Access and Inclusion for the Disabled (AID)

In some ways its good. They have allocations for natural disaster victims lumped together with the disabled, elderly and the poor. This is because during a natural disaster, we are the worst affected.

We are however very worried that they are pumping billions into public transport but the budget and the government have not given any assurance that it would be disabled friendly. Singapore, Taiwan, Thailand and even India has made efforts to make public transport disabled friendly, but not Malaysia.

They don't see themselves in the picture (of disabled and elderly facing difficulties). The prime minister is able bodied and well. Based on government figures, the disabled and the elderly make up 16 percent of the population. Clearly, this 16 percent were not reflected in the budget.


Dr Jacob George, president Consumers Association of Subang and Shah Alam (Cassa)

Whether or not the budget presented today makes any sense, will be seen within the next 120 days. The prime minister can present this year's goodies, and everyone will be happy for a while, but it must be remembered that come January, we will still be just as vulnerable if we are hit by escalating prices.

I think the budget has been rushed. Consumer sentiments are currently low, all opinions done by Cassa show that people are totally disillusioned.

The budget speech is not going to raise optimism because it has not addressed where it is now, and it has not addressed how much it has accomplished in last year's agenda. It is pertinent to remember this.

As a result, I think the consumer groups are going to take a watch and see stance, because the government has for the past year, failed to address the issue of escalating costs which has left the consumers in dire straits.


Prof Hamdan Mohd Adnan, Fomca advisor

I suppose the price of oil in the marketplace is fluctuating. Lately it's been quite erratic. People should know that if the price of oil goes up, we are actually making money. I think it's right that we can afford not to have such high retail oil prices.

I feel that the people are going to be very appreciative of the subsidy. We must always remember that oil is a commodity that won't go down, that there is a finite supply. The government is spending a lot of money to look into alternatives, and as a oil palm producing country, we should make research into alternatives fuels of energy sources as a prime policy.

With such high oil prices that we have now, a lot of people are very unhappy. They are not as excited as they used to be. If policies help to make the public happy, it would boost the economy.

Let's not forget domestic tourism for example. If the cost of petrol goes up, it will determine whether people want to travel or not, and spend their money.

You might lose a little money in higher oil subsidies, but you get returns from consumer spending elsewhere down the line.