Does the benefit derived from foreign direct investments (FDIs) need to be politicised?
An example is the development of the RM8 billion Melaka Gateway port project off the coast of Pulau Melaka. It is expected to boost the state’s economy and help the people, yet it is criticised as being a sell-out to China.
Just as a pro-opposition blog mischievously claimed that China is planning to build a naval base at Melaka Gateway when it is completed, Chief Minister Datuk Seri Idris Haron is quick to rubbish such allegations, saying FDIs in Malacca are not linked to military ties.
The sprawling offshore project, which will take off on four man-made islands, will bank on the historical state’s maritime experience and is projected to propel Malacca into the high-income category. It is also eight years away from completion.
The entire Melaka Gateway project, costing RM40 billion, will dwarf Malacca’s existing economic centre with its planned high-rise commercial, entertainment and cultural district within the 247ha area.
A deep-sea port and a cruise terminal will cater to the projected tourist arrivals, injecting additional income into the state’s coffers.
Three Chinese companies — PowerChina International, Shenzhen Yantian Port Group and Rizhao Port Group — have signed on as partners in the deep-sea port project, under developers KAJ Development.
However, China’s investment muscle has been questioned.
“Why is this becoming a question? Because it is politically driven,” said Umno Youth international bureau deputy chairman Bastien Onn.
“We shouldn’t think China is only investing heavily in Malaysia. They are doing that across the world.
“Inevitably, it is the youth that should be addressing, if not questioning, the issues on China’s FDIs.
“The benefit of such investments will be enjoyed by them in one to two decades.
“The youth are the ones who should examine these developments and see what they are all about because such projects have their future in mind.
“Leave politics out of it for a moment and do some fact-finding and evaluate them.”
While questions have been raised about the expected influx of foreign residents, alongside investors, evidence for it has yet to surface.
“Foreigners have been buying property here long before such projects even existed.
“Our Immigration Act is very tight. Even those who have resided here for very long are not easily accepted as citizens. So, where does this fear come from?
“As long as our immigration laws remain tight, such fears are unfounded,” said Bastien.
Still, the politicising of such projects is inevitable due to the government’s involvement, but Bastien sees a need to break the issue down to the vital facts and not waste time with trivial politicising.
“Look at what China will gain from such investments. Economically, yes, but so will we. So, as long as it is kept at that, it should be positive,” said Bastien.
“This is why I say as long it is about mutual benefits economically, there is no problem with the scale of China’s FDIs here.
“Our sovereignty should not be compromised because of these FDIs. Do not let investment aspirations blur our vision to uphold sovereignty.”
However, there is still restlessness.
There is a need for a balanced solution that can address the future needs and the benefit for the people and the state.
Arnaz M. Khairul is NST Malacca’s bureau chief