MONEY MASTER

The Malaysian Insider (TMI) went offline The Malaysian Insider It's not like that we didn't see it coming. But one of the most popular independent news portal, The Malaysian Insider (TMI) went offline on March 15 despite its popularity but let's face it. Without the commercial support, it's impossible to see how TMI can go on its operation, especially when the Malaysian Communication and Multimedia Commission block its website.  The Edge Media Group (TEMG) issued a statement, saying that TMI has run up to RM10 million of losses in the 20 months (since June 2014).  A deal could not be reached with three external suitors, "all of whom have existing media businesses", as well as on an offer for a management buyout. This was made tougher after the MCMC's block order on TMI, although talks had started earlier.  The closure of TMI saw 59 staff members, including its editor Jahabar Sadiq let go.  In a statement, TEMG publisher and CEO Ho Ka...

MAHATHIR & Co: "THE CITIZENS DECLARATION" Four days after quitting UMNO, Tun Dr Mahathir Mohamad sat with his old political allies and foes at a packed press conference last Friday to get the people's support to sign a declaration seeking Najib's removal. The Citizens' Declaration This sounds a lot like "Avengers" in real life...haha!! Well, Mahathir is definitely no angel himself but it's interesting to see how this will eventually turn out. Anyway, among those present were Selangor Menteri Besar, Datuk Seri Mohamed Azmin Ali, DAP parliamentary chief Lim Kit Siang, former deputy minister Tan Sri Muhyiddin Yassin and former MCA president, Tun Dr Ling Liong Sik. 58 individuals called "The Citizens Declaration" that day. The former and longest Malaysia's prime minister, Tun Dr Mahathir said Najib's removal from office must be through "non-violent legally permissible means." Asked if his collaboration with...

THE FLIP-FLOP STORIES ON FOREIGN WORKERS This is becoming a habit as Malaysia's Deputy Prime Minister suddenly announced a suspension on the recruitment of migrant workers from all countries, including Bangladesh.  1.5 million Bangladeshi? As of now, hiring is freeze on all foreign workers Deputy Prime Minister, Ahmad Zahid was reportedly saying, "The government has made the decision to freeze the intake of all foreign workers, including those from Bangladesh. And we appeal to all employers to hire locals." The government's announcement was a rather strange one given that it was not long after the news that 1.5 million Bangladeshi workers would be recruited and brought into the country. The sudden change of plan is a strange one indeed but not something new. At best, the flip-flop is likely due to politicians bowing to public pressures. At worst, it shows that our policymakers did not know what they were doing.  Human Resource Minister Datuk Seri Richard R...

DUTCH LADY EMERGED AS TOP GAINERS FOR THE ENTIRE WEEK'S TRADE DAY The "Monkey" year kick start with a very negative sentiment and the FBM KLCI closed down 1.1% compared to the previous Friday (Feb 5, 2016). However, Dutch Lady has emerged as the top gainers for three consecutive days. (which is the entire week's trading day for last week). The company has seen the share price jumped to RM51.96 compared to the previous Friday (Feb 5, 2016) at RM48.88. That's an impressive 6.3% increase compared to the negative trend of the FBM KLCI. Last Friday (Feb 12, 2016), Dutch Lady Milk Industries Bhd increased by RM1.50 from the previous closing. There was no further or new announcement from the company but given its previous earnings report and strong balance sheet, it's possible that investors are looking for companies with the moat to brace the storm and uncertainties ahead. LEMBAGA TABUNG HAJI: Rejected "Creative Accounting" claim The...

MUKHRIZ RESIGNS, AHMAD BASHAH SWORN IN AS KEDAH MB Malaysia's political tension seem to have gone one tension up, with former PM's Mahathir's son, Mukhriz Mahathir being replaced by Ahmad Bashah as the Kedah Menteri Besar (MB). Mukhriz out, Bashah in Mukhriz said he was removed because of his criticism of Prime Minister Datuk Seri Najib Razak over 1Malaysia Development Bhd and the RM2.6 billion donation. Datuk Seri Ahmad Bashah, aged 66 was sworn in as the new Kedah Menteri Besar (MB) last Thursday. This has ended the state's leadership crisis after Mukhriz was being told that he no longer had the support of the majority in the state assembly. Ahmad Bashah, who led the revolt against Mukhriz is the deputy chief of Kedah UMNO. This is probably a sign of a weakened influence from the Mahathir's camp. LEMBAGA TABUNG HAJI (LTH) announces 5% dividend, 3% bonus Lembaga Tabung Haji (LTH) announced an annual dividend of 5% for 2015 for its depositors. Thi...

MALAYSIA's REVISED BUDGET 2016, GDP FORECAST TO 4% - 4.5% Malaysia's Prime Minister Najib Razak had made the announcement on the recalibrated Budget 2016, to better reflect the current economic climate, given that oil price had dropped to the $30 dollar range. This was in comparison to the $48 USD assumption when the budget 2016 was announced last October. PM Najib Razak on the recalibrated budget 2016 In the revised budget 2016, the 2016 economic growth forecast has been revised to 4%-4.5%, down from an earlier forecast of 4% to 5%. The fiscal deficit target of 3.1% of gross domestic product (GDP) was maintained. Najib announced 11 measures to spur domestic consumption and increase growth, while saving some RM9 billion in operating and development expenditure. One of the highlights of the recalibrated budget is the optional 3% cut to the individual contribution to the Employee Provident Fund (EPF) for March 2016 to December 2017. INFLATION RANGING FROM 2.5% to 3...

PETRONAS to cut spending by RM50 bil over 4 years PETRONAS out of gas? Over the week, Wall Street Journal reported that Petroliam Nasional Bhd (Petronas) plans to slash as much as 50 billion ringgit ($11.4 billion) in capital and operating expenditure over the next four years, according to an internal memo sent to staff by its chief executive officer. Petronas is the Malaysian government’s biggest source of revenue, covering as much as one third of the annual budget, even after cuts in subsidies and the introduction of new taxes to diversify sources of income.  Petronas confirmed that it had circulated the memo as part of “ongoing efforts to optimize costs to address the impact of the continuous fall in crude oil prices.”  The firm has been hit by a slump in oil prices, which have fallen over 70% over the past 18 months. BANK NEGARA RESERVES FALL TO US$95.1 billion Bank Negara Malaysia's international reserves fell by a marginal 0.21% to US$95.1 billion in the...

BUDGET 2016: NAJIB ALLOCATES RM267.2 BILLION Budget 2016 was tabled by Prime Minister Datuk Seri Najib Razak last Friday, with the theme "Prospering the Rakyat", allocating RM267.2 billion compared with the revised RM260.7 billion in 2015.  BUDGET 2016 Among his measures to boost revenue was to raise taxes on the country’s richest individuals. Those earning RM600,000 to RM1 million annually will be taxed at 26% from 25% now, while those earning more than RM1 million a year will pay a rate of 28%. In its 2015/2015 economic report, the government forecast that GDP would grow 4% to 5% in 2016, from 4.5% to 5.5% this year. It sees the fiscal deficit narrowing to 3.1% of GDP in 2016 from a revised 3.2% this year. WCT GETS TRX CONTRACT, BUYS TRX LAND   1MDB is on the spotlight again, as 1MDB Real Estate Sdn Bhd has awarded WCT Holdings Bhd a RM754.8 million contract to build infrastructure and roadway works for the Tun Razak Exchange (TRX). WCT’s indirect unit, WCT Pr...

WAHID: 1MDB issues to be resolved in 2 months 1MDB issues will be resolved in 2 months Minister in the Prime Minister's Department, Datuk Seri Abdul Wahid Omar said in an interview with TV3 last Wednesday, "Prime Minister (Datuk Seri Najib Razak) issued a statement before this, saying that the issues related to 1MDB will be resolved in six months, meaning by end of this year." This means that in another 2 months, 1MDB issues will be resolved.  AMPANG PARK TO MAKE WAY FOR MRT STATION Ampang Park in the 70s and now The oldest shopping centres in Kuala Lumpur, Ampang Park Shopping Centre will soon be demolished to make way for the MRT station. The land on which the shopping centre stands is in the process of being acquired by the government under the Land Acquisition Act 1960 for the purpose of constructing the MRT Sungai Buloh-Serdang-Putrajaya Line. The mall was the brainchild of the Low brothers, following their successful development of People's...

MALAYSIA WILL ONLY SIGN TPPA IF BENEFICIAL Malaysia will only sign TPPA if beneficial Minister in the Prime Minister's Department Datuk Seri Abdul Wahid Omar said Malaysia will only agree to the Trans Pacific Partnership Agreement (TPPA) if the terms are beneficial to the country. "Malaysia will only enter into the TPPA if it is mutually beneficial, on terms that we can agree to," said Wahid. He said that the agreement touches various issues, such as the Bumiputera policy, government procurement and state-owned enterprises. "The text will be finalised over the next 30 days or so. After that, it will be made public and it will go for tabling in parliament," he said. AGC SAY NO TO BANK NEGARA's REQUEST AGC: No offence by 1MDB The Attorney General's Chambers (AGC) has decided that no offence was committed by 1Malaysia Development Berhad (1MDB) based on an investigation paper (IP) by Bank Negara and no further action sh...

KHIR TOYO SENTENCED TO A YEAR'S JAIL The sentence has been delivered. Former Selangor Menteri Besar Dr Mohamad Khir Toyo was sentenced to a 12 months' jail for abusing his power while in office to purchase two plots of land ad a bungalow in 2007. Federal Court Judge Tan Sri Zulkefli Ahmad Makinudin who delivered the verdict, also upheld the decision of the lower court to forfeit the properties.  Khir Toyo sentenced to a year's jail A five-member panel led by Chief Justice Zulkefli Ahmad Makinuddin made the ruling together with Justices Jeffrey Tan Kok Wha, Datuk Ramly Ali, Tan Sri Hasan Lah and Tan Sri Ahmad Maarop. The court has also rejected his mitigation to offer free dental services to the poor for three days weekly between one and two years as part of community service in default of jail, as it would not be appropriate. Khir Toyo began his jail term in Kajang Prison on September 29. Zeti: Malaysia bond market will not collapse ZETI: MALAYSI...