My Essay for PSDC's Interview

When the world's economic situation started to show signs of its crumbling down in 2008, I was scared of my own financial stability. After having a stable income for almost 11 years, one could not resist having more assets, which translates to piling on more credit to one's name. Having been a victim of Soro's doing in 1998, the words 'retrenchment', 'termination' and 'out-of-job' are those I would like to elude at this point of time.

Towards the end of 2008, the then Deputy Prime Minister, Datuk Seri Najib Tun Abd Razak announced a stimulus package for the country. I was very sceptical. How can we maintain ourselves, when the whole world is shrinking? News upon news, printed and broadcasted, were talking of companies closing down, moving out or reporting loss. And Malaysia believes that it can sustain through this test of time? I wasn't sure.

Not until early 2009.

Then I saw it working. What the Deputy Prime Minister had promised the 'rakyat' was slowly showing its result. I, for one, started to see brand new cars with sparkling new registration numbers. And not only local cars, but imported ones too. So the 'rakyat' have started spending, slowly but surely.

What I learnt in Economics 101 was, spending will help in easing a country's recession. The more the people spend, the more the currency circles, prices become more volatile, more demand thus encouraging more supply, and before you know it, the economy is no longer in a recession.

But it's definitely easier said that done. And I think Malaysia has a long way to go in defending itself against this stormy weather. Food prices need to go down, as food and groceries are the main expenditure in any household. Petrol price need to stay stagnant, as any increment would justify food suppliers' taking advantage of the situation. The move to lower EPF contribution has helped many, including myself, to have a small spare cash. But what good would the spare cash do to the economy if most decide to just put it in the piggy bank?

There's much to be done.

But if I'm asked what do I think of the 2009 economic outlook, I'd say Malaysia will do fair. (Though honestly I think the whole world will still be scrambling and grasping and trying to breathe.)

:)