Highlights:

  1. Tabung Harapan Malaysia for people to help in reducing national debt
  2. Government drops mega projects
  3. 11 Malaysia Plan to be reviewed in November
  4. DHL eCommerce expands Hong Kong distribution center amid strong e-commerce export growth

Government sets up fund for public donations to reduce national debt
The government is to establish a fund to be called the Tabung Harapan Malaysia to accept donations from the people to help strengthen its financial position. Announcing this today after the weekly Cabinet meeting in Putrajaya, Prime Minister Tun Dr Mahathir Mohamad said the fund was necessary to ensure that the donations from patriotic Malaysians would reach the Ministry of Finance. “Many Malaysians, after knowing the bad state of the country´s financial position, are willing to make donations to the government. We welcome their patriotic attitude and express our gratitude to them,” he said. He said the account number for the donations would be announced soon. The Pakatan Harapan government recently announced that the national debt amounted to RM1 trillion and this had prompted many Malaysians to express over the social media their readiness to make donations to help the government reduce the debt.

In a related development, Tun Dr Mahathir said the government is committed to reducing the country’s borrowings by shelving mega projects costing billions of Ringgit such as the Kuala Lumpur-Singapore High-Speed Rail (HSR) and the MRT Line 3 projects. “If the country is to avoid bankruptcy, we must learn how to manage our big debts and one of the ways is to do away with projects that are not beneficial to us,” he said. Tun Dr Mahathir said the Cabinet decided to cancel the HSR project, considering its high financial implications, subject to discussion with the Singapore government. Asked if the government would reconsider its decision if Singapore could prove that the project would benefit Malaysia, he said: “We will listen to them. They are our good partner.”

Tun Dr Mahathir also said that the mid-term review of the 11th Malaysia Plan would be tabled in Parliament in November along with Budget 2019. “The mid-term review will be modified to take into account the progress of projects from 2016 to 2018 and the new government direction for the remaining years (of 11MP) from 2018 to 2020,” he said.

DHL eCommerce expands Hong Kong distribution center amid strong e-commerce export growth
DHL eCommerce has expanded its Hong Kong distribution center amid strong e-commerce export growth in China which is expected to reach €1.6 trillion by 2020, The Hong Kong distribution center will support e-commerce export growth particularly from the South China region such as Shenzhen, Guangzhou and Hong Kong and will connect e-commerce exports to 220 countries and territories worldwide. “Cross-border e-commerce continues to flourish in China with revenues rising over 80% year-on-year to reach €12 billion (approximately 90.24 billion yuan) in 2017, out of which €4 billion (approximately 33.65 billion yuan) are in e-commerce exports.”, said Charles Brewer, CEO, DHL eCommerce. “We see a huge opportunity for China e-commerce exports particularly to popular markets such as the UK and U.S. but increasingly also to emerging markets such as Southeast Asia, India and Latin America. DHL is investing in our presence in China to ensure we are well-positioned to support businesses to capture cross-border e-commerce opportunity,” Brewer added.