THE announcement by Prime Minister Tun Dr Mahathir Mohamad on the new economic model based on ‘shared prosperity’ is much welcomed and a refreshing change.
This model, if implemented, will give hope to Malaysians who aspire for a better shared future.
In fact, this shared prosperity model can be the new common vision for Malaysia beyond Vision 2020.
To achieve this “shared prosperity” vision, the following factors must be emphasised and given priority:
Growth orientation
Economic growth needs to be given greater impetus. With faster economic growth, more wealth and prosperity will be created.
The public and private sectors need to work together to accelerate growth. A growing economy will create a feel-good factor as the effects of economic growth trickle down.
Sustainable and environmental friendly
The new economic model must be sustainable and focus on economic and environmental sustainability so that the Malaysia that is inherited by future generations remains green and clean. The model must embrace the United Nations 17 Sustainable Development Goals.
Inclusivity
Inclusive development will ensure that no one is left behind.
We need to reduce income inequalities and pursue affirmative action that is needs based to benefit the poor and disadvantaged.
Technology driven
Innovation and technology will drive future growth as greater emphasis will be given to new technologies, like Artificial Intelligence, blockchain, big data, virtual reality and the Internet of things. A technology focus will give us a future-oriented economy.
Employment creation
The shared prosperity new economic model will also prioritise job creation.
Creating jobs of the future is a challenge. We need to anticipate what jobs will be needed in 10, 20 to 30 years and to develop the skills and competence to equip youth for the jobs of the future.
We need to look at reskilling workers so they can be prepared for new jobs.
Entrepreneurship
The future economy based on shared prosperity must prepare future generations to be entrepreneurs so they can generate prosperity.
Entrepreneurship skills should be taught in schools and universities.
Entrepreneurial training should also be provided to young workers.
Our small- and medium-scale enterprises can thrive with a stronger focus on entrepreneurship.
Boost rural income
To ensure shared prosperity benefits all, more must be done to address and increase rural income. This will mitigate rural-urban migration.
Structural reforms
Structural reforms are needed to institutionalise the shared prosperity concept.
It needs to include foreign labour, the size of the civil service, the size of government-linked companies, reducing the role of government in business and strengthening key institutions.
Reforms are also needed to address the 3Ds: debt, development divide and digitalisation.
Ethical leadership
Finally, Malaysians can enjoy the benefits of shared prosperity only if ethical leadership is institutionalised in public and corporate governance.
Ethics and integrity must be ingrained into our politicians, civil servants and in businesses.
I am confident that if we place priority on these 10 factors, we will achieve the prime minister’s vision of a shared prosperity.
We need to build a Malaysia that is united, harmonious, inclusive and prosperous.
Growing the economy and adopting a human rights-based approach to development will ensure our common future.
Congratulations to Dr Mahathir and Pakatan Harapan for their first year in office.
Tan Sri Michael Yeoh
President, Kingsley Strategic Institute