The Era of Change – Breaking away from the trap

April First (may be April Fool) but it is also the beginning of a change in the Malaysian politics and may lead to a change in socio-politic environment and even a structural change in the economy. The prime minister in-waiting, Najib seems to be a dynamic guy with incredible ideas. He has his vision of moving Malaysia up to the next level but lots need to be done (especially change of mindset of politicians and civil servants)

Malaysia, for me has been so long trapped in this middle income group of countries. We are not moving upwards or downwards. We managed to change structurally from a rural and agriculture-based economy into an industrialized nation starting mid 80’s and into mid 90’s. However, moving forward we didn’t progress much. Though there are many plans which outlined the need to move-up the value chain into a knowledge-based economy, were are still trapped in all kind of problems. The production process still uses out-dated and labor intensive techniques.

We need to change. Not only the public sector but the private sector too. Malaysia is not like China, India or Vietnam, where labour is cheap and one can use old and polluting technologies. We have long passed this stage. Malaysia needs futuristic technologies and investment should go into new discoveries rather than buying on-the-shelf technologies. We are not short of scientists and discoveries, as can be seen by the number of new discoveries made by the local university professors. The number of medals they win yearly in international seminars and exhibitions. The only problem is transforming the research findings into commercially viable projects. We have MOSTI, we have science and techno funds but things are not moving. We need somebody or an entity which goes around to the universities and research institutions, undertaking efforts to commercialize the researches which are viable to be marketed.