What is it now – the fish or the rod?

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FOR the past few months, two events have come to pass which have made many rural Sarawakians happy: the gluts of durian, rambutan, mangosteen, langsat, and the news about basketfuls of goodies coming their way from the central government to help alleviate their economic woes.

In those hampers are the rice and the cash as living allowances for the poor and the vulnerable Malaysians, in addition to the many other income generating projects being implemented or about to be launched in the state.

It’s not that we have not enjoyed the buah merdeka (fruits of independence) at all since 1963, but last year saw so much publicity about developments of all descriptions to be implemented this year.

The scenario was somewhat reminiscent of the early days after the formation of Malaysia. This was the honeymoon period.

During that gestation period, the federal leaders frequently dropped in at Kuching; some also ventured into the interior. Having assessed the needs of Malaysia Timur in person, they would fly back to KL to mull over strategies to sustain the newly-created nation.

Similarly, local politicians would make regular trips to the Ibu Negara for meetings and sightseeing in the other parts of the new federation. Penang was the favourite destination; Ipoh the place for food and other attractions.

The past 20 months saw an influx of VIPs including leaders of the opposition from the West, especially during the Batang Ai by-election campaign.

Of course, they are always welcomed, election or no election, not just the VIPs but ordinary fellow Malaysians. We have enough stock of salted Terubok and the ceramic labu or pasu for every one.

These handouts are for the short-term

These handouts from the central government are most appreciated, especially during the landas, a season of shortages of several essential items in the family budget.

“Terima kasih daun keladi, kalau ada tambah lagi.”

Curious members of the public, however, have been wondering if these are not the crumbs from the multi-billion ringgit stimulus packages to prop up the whole economy during the world economic downturn.

How they are to be fairly distributed is another matter. How they are to be sustained for a long time is a moot question. Will there be a margin of saving?

Like the durians, will there be excess to be salted away as tempuyak or fried into lempuk?

Keen observers of the Sarawak political scene link those goodies with the frequent visits to the state by both the leaders in the federal government as well as those from the opposition. Is it a pure coincidence, they ask?

Stop asking too many questions, my home minister advises.

Still, many political pundits cannot help associating these handouts with the possibility of the state election being held this year or early next year. Others regard these gestures as long overdue, no more no less.

Whatever it is, election or no election, a lot of people in the state need some injection of funds into our system. It makes the poor and the disadvantaged groups feel good: they are not being neglected.

For the ruling parties, that’s politically correct.

These hampers are essentially stopgap measures, though.

In the long-term, however, we need viable and sustainable economic programmes, not just stimulus packages and subsidies.

As space does not permit, let’s look at those temporary schemes with the fancy names.

Subur and E-Kasih

Under Subur, milled or polished rice is given free to those who have none or whose harvests have failed. Under the e-Kasih scheme, cash is distributed monthly to 50,000 hardcore poor households registered with the scheme. Some 4,000 Orang Asli are included in this programme.

In Sarawak, distributing these gifts fairly to the targeted beneficiaries has hit some snags lately: lack of full information on genuine beneficiaries from each district; some cases of favouritism and cronyism.

Sound familiar?

By now, the number of eligible recipients should have been sorted out. The grassroots government officials and the government agents such as the Ketua Kaum are responsible for the head count. If at their level some people are not on their list, then the registers at the ministerial stage are not complete. For the exercise the following year, the master list will be most up to date.

In the long-term

A couple of good tools are available for the reduction and eventual eradication of poverty, absolute or relative.

Tekun

This is one of them. However, for one to get into this scheme, one has to prepare a working paper and present it to the loan officer. If the boss is comfortable with it, your loan is approved. Otherwise, you will have to go without it. But resorting to the Ah Long is not an option, nor is it recommended.

It would be ideal if a rice farmer or fisherman, while good at his respective vocation, could also write a working paper containing the profit and loss analysis, the imaginary Internal Rate of Returns (IRR) to investment, and the schedule of repayment.

He has simply no time for such sophistication. He needs financial assistance without undergoing such a bureaucratic hassle. Can’t simpler procedures be devised to serve the same purpose?

Projek Ikhtiar

This interest free credit scheme has been proven successful to alleviate poverty in Bangladesh. Initiated by Nobel laureate Professor Yusuf, it has helped thousands of households there.

What makes this loan scheme tick is the exclusive participation of women. According to its promoters women are more reliable in terms of repaying back debts than we men!

This mini credit project has been introduced to Malaysia for many years now and in Sebuyau it is claimed to be successful.

If so, one may ask why is it not being implemented throughout the length and breath of the state? May be there are good reasons, technical or political. Let the public know.

The choice is the rod

In 1989, the government formed the National Economic Consultative Council (NECC) to review implementation of the New Economic Policy (NEP 1970-1990) and to recommend to the government new ideas for incorporation into the next phase of that policy for another 20 years. This was the Dasar Pembangunan Negara (Depan), later dubbed the Wawasan 2020.

There were many other recommendations, but these are not for this column today.

One concept — the fish and the rod — is still valid and practicable despite the fact that a lot of water has flowed under the bridge since the review of the NEP 20 years ago.

The above said goodies represent the fish; the long-term or holistic economic plans are the rod in this context.

Apparently, despite intensive efforts to reduce poverty, absolute and relative, it is still with us. We are told that in 2007, the incidence rate was 3.6 per cent. By the end of this year, we are assured that, through these federal government’s contributions, the rate will be reduced to 2.8 per cent.

It looks like a good year, this.