Challenges in Reviving the Malaysian Economy from the Impact of COVID19

The main challenge for the current Perikatan Nasional (PN) government to implement the plan of reviving the economy due to the impact of COVID19 is political stability. Since the current Prime Minister Tan Sri Muhiyidin Yassin took the job in March, he has yet to prove his government’s majority in Parliament. The question of whether he has enough majority support from the Members of Parliament (MP) is still not answered yet. That question can only be answered if the Parliament meeting is able to be held as normal. Based on the fact that full parliament meeting will allow the opposition party to propose non-confident vote against Tan Sri Muhiyidin Yassin in the Lower House of Parliament. One cannot be imagine, how Perikatan Nasional will be able to handle the impact of COVID19 towards the Malaysian economy without holding a strong position as the government.

The impact to the economy caused by COVID19 is more serious compared to the Asian Financial Crisis in 1997/98. During the Asian Financial Crisis, the government lead by Dato Seri Dr Mahathir was a stable government with 2/3 majority in Parliament, even though was faced pressure from the Reformasi movement. In that position, Dr Mahathir was able to be more focused to find a solution to resolve economic impact of the Asian Financial Crisis. All the economic plans were successfully able to achieve the goals recovering the economy due to the political stability. Logically, since the impact of COVID19 is worse compared to the Asian Financial Crisis in 1997/98, a stronger government is needed to carry the responsibility in facing the impact of COVID19 towards the Malaysian economy.

Therefore, forming a strong government is very crucial for Tan Sri Muhiyidin Yassin in order to execute Perikatan Nasional’s planning to revive the Malaysian economy post COVID19 outbreak. Based on the experience of the Financial Crisis in 1997/98, without a strong government, the Malaysian economy will not be able to revive from the impact of COVID19 outbreak. The 6R (Resolve, Resilient, Restart, Recovery, Revitalize and Reform) economic recovery plan strategy introduced by Tan Sri Muhiyidin Yassin’s team to revive the Malaysian economy is currently at the recovery stage. The successfulness of the implementation of the first 3R (Resolve, Resilient and Restart) is now being tested in the recovery stage, whether all the business and industries are able to recover or not will be known at this stage.

As we have witnessed, Tan Sri Muhiyidin Yassin’s team has been working very hard and show their capability in handling the COVID19 outbreak through the implementation of Movement Control Order (MCO) and introduced several economic stimulus packages. But the continuity’s of his team planning is very much depending on their political stability as a government. A lot of hard work and cost was spent on the war against COVID19 outbreak by Tan Sri Muhiyidin Yassin team. Now their planning at the stage recovery to see whether the first 3R was success successful or not will be ensure at this staged. Recovery stage is crucial and needs a lot of effort’s as well as focus to make sure it can be execute as being planned. But, Tan Sri Muhiyidin Yassin government is currently facing tough pressure from the opposition party. Opposition party which now known as Pakatan Plus seem very active in doing the political manoeuvre to topple the current government. However, in Pakatan Plus are also having their internal problem to name the Prime Minister candidate, either Tun Mahadir or Dato Sri Anwar Ibrahim. 

Even though Tun Mahathir only has a small team from Bersatu with him in Pakatan Plus, but he still has a powerful influence to challenge Datuk Seri Anwar Ibrahim as the Prime Minister candidate. This is indeed a strange situation whereby PKR is the dominant party but Tun Mahathir with an only a small team is able to influence the decision of Pakatan Plus to make him as Pakatan Plus’s Prime Minister candidate. Some PKR leaders and supporters are dissatisfied with that situation and they insisted that PKR’s way forward is never to let PKR and Datuk Seri Anwar Ibrahim “be taken for a ride ever again”. Datuk Seri Anwar Ibrahim seems not only not get firm support from his old friends from DAP and Amanah to be Prime Minister candidate but that is also get pressure from inside his party from ‘Azmin’s people'. With the principle of democracy, we can see a lot of new fractional political parties being established, which made a lot of negotiation and compromise needed to form a coalition, fragile coalition.

All this political scenario indicate that political stability in Malaysia far to achieve. It also shows that the struggle to gaining power among politicians will always continue nor matter in what the situation is. Everyone calls for united in their definition, when are they in power, they define united as working together with them and stop going against them. When they are not in power, they define united as a struggle to build a better country and topple the corrupt government. Then, there is no ending going against each other and unity remain a fantasy. Therefore, there is no hope that we are able to have a better life under capitalism and democracy. The tough life we face now will continue and will sure became tougher if our lives are still managed by the same system.

That is the design of the political system of democracy used in our country today. Day by day it shows its weaknesses and limitations. The main problem is the system itself. Democracy is a system designed by human, of courses, it is full of weaknesses and limitations. The best system to manage human life must be from Allah and the system is Khilafah.         

Targeting the Root Cause: Stopping Alcoholic Beverage Industry - The Way Forward!

Despite having Muslims as the majority of the population in this country, which based on their belief, does not consume alcoholic beverage; it can be sold and consumed in large scale in this country because it’s allowed according to the law. The law implemented in a country will determine which goods and services can be sold and consumed, which one is not.

The reason for such unfortunate reality can be traced back to the inception of this country, when the supreme law of Malaysia, Federal Constitution was established by the Reid Commission headed by Lord William Reid. Even though some might argue that during the establishment of the Federal Constitution, the commission opened for recommendations from many parties including Muslim scholars,but we must bear in mind that it is up to the commission to decide whether to include any of these recommendations from the Muslim scholars in the constitution. This indicates that the establishment of the Federal Constitution is based on the framework of the Reid Commission, not based on Islamic one.

Therefore, the decision whether or not any economic goods such as alcoholic beverage or pork can be processed at the industrial scale, then sold and consumed openly is based on the law under Federal Constitution. This is the fundamental knowledge that people need to understand beyond the issue deaths in road accidents caused by drunk driver.

Since the alcoholic beverage industry is legal in this country, then the trading, as well as the consumption of alcohol is allowed to expand like other industries as long as they comply to all related legal provisions. In addition, some might justify that alcohol has also contributed significantly to the Malaysian economy in terms of creating jobs and tax revenue to the government, particularly in tourism industry among others. 

  

Like other industries, it is the government’s responsibility to make sure they comply to the rules and regulations. As long as the industries comply to the law, then they are encouraged to expand so that they can contribute back to the economy. The same thing applied to the alcoholic beverage industry. This is evident when Malaysia, being a renowned Muslim country, but it has been named by the World Health Organisation (WHO) as the world’s 10th largest consumer of alcohol despite its small population and size.

The deaths of innocent people because of drunk drivers is seen as a separate issue from the issue of alcohol beverage industry. That’s why we can see that the government’s approach in handling the issue of fatal accident caused by drunk drivers only focuses on the law related to Road Transport Act in addition to campaigns to create awareness on the danger of alcohol abuse, not on the law about the alcoholic beverage industry as a whole, let alone to stop the industry. Strengthening the Road Transport Act may or may not be successful in reducing the incidence of fatal accident caused by the drunk drivers, yet it may not definitely solve the issue pertaining to alcohol consumption as it does address the problems arising from the alcoholic beverage industry. This also applies to the government approach to the issue of domestic violence caused by drunken husband, as the government will focus on finding the solution for the domestic violence instead of addressing the root cause i.e. the alcohol industry as a whole. This is the fact that we need to realize and understand.

Whether we like it or not, we have to admit that the alcoholic beverage industry is allowed and legal in this country, just like the licensed gambling industry. These two sectors were thriving at industrial scale and contribute significantly to the Malaysian economy.

From the secular and capitalistic point of view, there is no reason for the government to shut these two sectors, in fact such move is seen as counterproductive especially during this challenging times as we are facing economic uncertainties following the Covid-19 pandemic.  

Those with higher moral compass, sincere faith, and strong religious awareness who call for closure of the alcoholic beverage industry and restriction of large-scale import face strong opposition particularly from various stakeholders from the industry. Even the Law Minister who hails from political party leaning towards Islam took the path away from tackling the root cause, focusing instead towards ‘symptomatic’ measures similar to the plan that has been outlined by the previous PH government.

Moreover, even though it seems that it is possible to implement definitive solution, but in reality, it is almost impossible to do so, as the supreme law in this country permits the growth of the industry. The same applies to the implementation of hudud in this country. Although it looks like there is glimmer of hope for it to be implemented, but after long polemic and people has gained more understanding about the Federal Constitution, now even the strongest proponent of implementation of hudud via constitutional means has reluctantly realize that it is almost impossible to achieve under Federal Constitution.

In Islam, the policy about alcoholic beverage industry is very clear, that any prohibited good and services such as alcohol, pork, gambling, prostitution and all sorts of haram activities are not considered as economic goods. Therefore, it cannot be manufactured and sold like other economic goods. In other words, according to Islamic rule, no alcoholic beverage industry would be allowed to exist in an Islamic state.  Alcoholic beverage (khamr) is forbidden under ten circumstances, not only for consumption. At-Tirmidhi reported from Anas Ibn Malik who said:

لَعَنَ رَسُولُ اللَّهِ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ فِي الخَمْرِ عَشَرَةً: عَاصِرَهَا، وَمُعْتَصِرَهَا، وَشَارِبَهَا، وَحَامِلَهَا، وَالمَحْمُولَةُ إِلَيْهِ، وَسَاقِيَهَا، وَبَائِعَهَا، وَآكِلَ ثَمَنِهَا، وَالمُشْتَرِي لَهَا، وَالمُشْتَرَاةُ لَهُ

“The Messenger of Allah صلى الله عليه وسلم cursed ten in relation to Khamr: its producer, the one assigned with its production, the one who drinks it, the one who transports it, the one it is transported to, the one who serves it, the one who sells it, the one who eats from its profit, its buyer, and the one for whom it is purchased”.

Non-Muslims (Kafir zimmi), on the other hand, are only allowed to consume alcohol in their personal place, and alcoholic beverages are also not allowed to be sold openly to the public. Any activities that involves alcohol consumption  openly are also not allowed in Islam.

As a conclusion, even though the number of cases of deaths of innocent people in accident caused by drunk drivers is increasing, it is impossible to stop the alcoholic beverage industry in this country within the framework of this system, because the existence of such industry is allowed by the constitution. Actions to stop the alcoholic beverage industry means against the constitution and would be challenged by the industry players as it is their right which was protected by the constitution.

The only viable measure that the government can do in handling this issue is to enact the related laws to prevent drunker from driving, no more than that, because main issue not the alcohol industry as a whole but the act of driving under the influence of alcohol. Therefore, the alcoholic beverage industry can only be stopped if the country is ruled based on Al-Quran and Sunnah. The country is none other than the  Khilafah state. Therefore the definitive solution to stop the alcoholic beverage industry which is the root cause that resulted in the widespread negative impacts of alcohol consumptions in our country is through reestablishement of Khilafah state according to the method that was shown by Rasulullah (saw).