Friday, June 27, 2008

another destruction coming our way...

The recent drastic hike in fuel price has indeed created a lot of hardship among income earners and businesses collectively. More so when it was timed to perfection... when our domestic economy was facing a slowdown with lacking opportunity mainly due to the present government's inability to run the country effectively. What is sickening is that they can push all the blame to global crisis with ease while the silent majority knew that what we faced today is due to their corruptive practises over the past 2 decades.

What is done cant be undone for the time being. Further ranting and bickering definitely wont change a thing now. But at least, we get to get it out of our system. We still need to adjust ourselves to this drastic hike. It's not going to be easy with growing children. Personally, i have to give up many things and now i am back to basics.

While we continue to adjust ourselves to this sudden change, please allow me to inject further anti climax to your already-miserable adjustment and to those who are highly geared with bank borrowings like businesss loan or housing loan- Brace Yourself to a Drastic Interest Rate Hike!! I am not kidding here. With our real inflation rate at double digit figure as opposed to the central bank's figure, a interest hike is inevitable. The current BLR cannot be maintain at this level. It just doesnt make any economic sense.

Yes right.. the key word is drastic and i am talking about a BLR of 9-10%. This would further rub into our country's sorry economic state. A double whammy courtesy from our BN administration. They Corrupt We Pay!!

1 comment:

Letting the time pass me by said...

This is a great article...

I really do not understand the world economy. I think there is a major artificial economic structure, with all prices seems taking its own direction not base on the supply and demand fundamentals....

I do think that different people have different views on the issue. Economist may have a different view in economic different from a doctor, an engineer, a lawyer or an archtect and of course people who do plantations, fisherman, paddy farmers, have a very different views of economics.

For example, the US economy that take their pride in their free trade market system, have been hit with some crisis over the years... The dot com, the Enron crisis, now we have a looming currency crisis that slowly hitting American economic.

When I look at Singapore, we can see that the country also have some kind of economic structure that can be taken as some form of subsidy. In some developed country, the government also provide a lot of subsidy to the people, even people who do not work receive some sort of assistance..

I think what is more important is for the leadership to understand the economic situation of the country and to outline the necessary measures to ensure the positive economic development in the country..