Thursday, August 30, 2007

The Minister for Tidak Apa

by Jonathan Kent
4:58 pm Sunday, Aug 26
From http://www.facebook.com/note.php?note_id=4759229211&ref=nf

Malaysia is turning fifty at the end of this month and is celebrating half a century of economic success. With the exception of Singapore it’s done far better than its neighbours in South East Asia. Yet there are those who think it has underperformed. Indeed it is having to work hard to attract foreign investment in the face of competition from China, India and Vietnam among others. But as Jonathan Kent reports from Kuala Lumpur Malaysia’s biggest challenge is not from abroad but from within.

There are a couple of very handy Malay phrases that encapsulate two of this country’s biggest problems; One is ‘tak boleh’ – meaning ‘not possible. It’s a favourite of all those petty officials who want to exercise the little power they have, sometimes to elicit a bribe. The other is ‘tidak apa’, don’t care. Recently I came face to face with the minister for ‘tidak apa’ at an official function.

The minister had recently stood up a colleague from Iranian TV who’d wanted to interview him. I asked him if he was aware that he’d let her down. He shrugged dismissively. ‘It’s not my problem,’ he replied and blamed his press secretary.

It was the sort of response I’ve encountered all too often in Malaysia but rarely in such an unashamedly blunt form.

By the standards of the region Malaysia’s physical infrastructure is excellent albeit sometimes poorly planned. It’s sent thousands of students to study in the UK, Australia and the United States over the years and has a pool of talent. In those sectors out of which the government keeps its sticky finger there’s innovation and entrepreneurialism. But for a country with so much going for it, it seems ambivalent about letting the world know. Finding critics who’ll bemoan its protectionism, moribund government listed companies and unfriendly foreign investment rules is easy. Finding someone from the government who’ll defend it or simply sing its praises is surprisingly hard. I suggested to the minister that Malaysia is guilty of telling a good story very badly.

“I don’t care,” the minister replied. “Why should we care?”

Well, I pointed out, it’s costing you billions of dollars in foreign investment every year.

“We don’t care,” he said giving me the strong impression that he really didn’t care.

But I persisted – Malaysia is strugging to attract foreign investment much of which is going to its neighbours. China, India and Vietnam all offer a lower cost base than Malaysia while Singapore may be pricey but offers a far better regulated business environment that makes it a natural choice for finance houses and multinationals looking for regional headquarters.

“It doesn’t matter” said the minister for tidak apa. “We’re not competing with anyone.” That was the point at which my smile froze. Not only do some Malaysians not care about the outside world, they think they’re insulated from it. “Have you been to Vietnam?” I enquired.

“Yes,” said the minister and told me Malaysia is very happy for Vietnam’s success but that it’s irrelevant to Malaysia. “I’ve been a minister for nine years” he told me. “I don’t care what they say.”

Malaysia is doing well, but it could be doing better. It has perhaps fifteen years until its oil reserves no longer subsidise government largesse. Right now it needs to invest wisely in infrastructure and education so that when there’s no oil there’s still a future. The boys on the fourth floor as Prime Minister Abdullah Badawi’s young team is known have a pretty good take on what ails Malaysia. They know it must face up to globalization, tackle corruption, cut red tape, liberalise its markets, manage its state linked companies better, improve planning and cut waste if it is to stay ahead in South East Asia. Meanwhile there’s another handy Malay phrase for the ‘not possible’ and ‘don’t care’ brigade that thinks globalization won’t affect Malaysia; ‘bodoh sombong’ – too proud to admit they don’t understand.

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