Monday, November 2, 2009

2010 Budget burdens average earners, claims Sarawak DAP



SIBU: The 2010 Budget, instead of easing the people’s problem, is causing a burden to their livelihood, especially to the average earners, Democratic Action Party (DAP) state publicity secretary David Wong said yesterday.Speaking at a news conference here, he figured that Malaysians, who were already suffering under the current economic crisis, could see no reprieve in the budget announced by Prime Minister Datuk Seri Najib Tun Razak recently.

Citing the RM50 service charge on credit card as an example, he claimed that next year’s budget was not ‘people-friendly’ as it only benefited the rich who were the minority in the country.

“Only those who earn RM100,000 per annum are able to enjoy the one per cent reduction,” Wong said, adding there were not many Malaysians earning RM100,000 a year.

Based on his estimate, there are 11 million credit cards in circulation in the country, and most of the card holders are exempted from the annual subscription fee.

Wong claimed that the majority of the credit card holders consisted of young and upcoming professionals and middle class people.

“A considerate government should help to reduce the interest rate on credit cards which is a non-secured loan, instead of increasing the financial burden of all card holders, whether they have a debt or not,” he suggested.

On another front, Wong strongly opposed the government’s decision to withdraw the rice subsidy from December onwards.

He believed that the new ‘rice voucher’ system would only benefit the minority, that is, people who stood below the poverty line.

“In fact, many urbanites such as you and me with an average income need this subsidy as well,” he said.

As such, he urged the government to consider reinstating the rice subsidy scheme which had benefited everyone.

Wong also commented on the implementation of the new system on fuel subsidies next year.

The adjustment of the fuel prices next year, according to him, is a clear-cut case of telling people that they would not enjoy fuel subsidies anymore.

“Just like the new ‘rice coupon’ system, only those who have the coupons would enjoy the subsidised fuel while people like us would not reap any benefit,” he lamented.

He reminded the Barisan Nasional (BN) government that many Malaysians were already hard hit by the economic recession, with many families and small-time businessmen resorting to borrowing money, even from loan sharks, to make ends meet.

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