Exchange Rates for RM

[AHGS14]

I only do things that I am answerable to. I do not think my fellow countrymen are suffering. In fact, I am proud to say my factory employ 90% local Malay workers. And these workers had been with me, some for 15 years already. I am damn proud to say my local boys produced goods that fully meet international standards, evaluated by foreign technical centers and incorporated in equipment made in their own countries. I have done my share of work at National level serving in TC and working groups in my days. So who are you to comment on my patriotism? Just because I hope S$ should be strong?

Malaysia started at par with Singapore in its currency some 50 years ago. Today is 1:3. Singapore progressed very well. Malaysia fell back in its currency. But who say they are deprived and what bench mark are you measuring against? Based on what model are you saying that. We are happy as what we are. Go to any travel fairs, you see many people can afford to fly. Go to Kl and you see as many sky scrapers. Go to UK or any universities, we have as many students, in fact more than many countries. 50 years today, we are still around. We still did not die of hunger. Do you really think a depressed currency is will make the country suffer? if that is the case, why are you in this property forum? Sorry, maybe you have no properties or investments in Malaysia. Understood.

Why must RM be stronger? So that it drive away investors? Or make MY more expensive to do business in? As I said, Malaysians are very stupid people. We do not know how to make RM strong. Maybe you can teach us how.

RM may be low. So is my nasi lemak. We do not need to eat in big restaurants everyday. Just mixed rice will do. We earn low, our expenses is low. Does that make my people suffer? Being rich and wear designer clothes does not make a person better. Being simple is. Inflation will hit those who import, it will not hit those who buy local. I just mentioned in another post, my relative rent a 2 room apartment for RM107/month. Is he suffering from inflation?

So please do not judge us by your standards. We are happy by our own. Like I always say, this is Malaysia and we have our way of living. You like, you join and we welcome you. You think we are not at your level, please do not join us. Singapore is much better and I totally agree. It is just that I like Malaysia more.

In M'sia, I believe many daily necessities like flour etc are price controlled items. Also, if 1 does not envy imported goods which will cost more due to lower ringgit, life can get by. Sg imports practically everything, and lower S$ will definitely hurt its local population more. As it is, even if you have no income as in retirees or retrenched PMETs, or don't earn enough so exempted from paying income tax, you still get taxed via GST imposed even on daily necessities. Both countries took different approaches.

 

[Tekkun]

Rental of PPR housing is at RM 124/mth and GST is exempted under Public Housing Program.
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Cukai Barang dan Perkhidmatan (GST) tidak akan dikenakan ke atas sewa rumah di bawah Program Perumahan Rakyat (PPR) Dewan Bandaraya Kuala Lumpur (DBKL).Datuk Bandar Kuala Lumpur, Datuk Seri Ahmad Phesal Talib berkata antara yang akan dikenakan GST ialah ke atas premis perniagaan atau komersial seperti gerai.“Secara prinsipalnya, GST tidak akan dikenakan ke atas sewa perumahan, kompaun dan saman-saman,” katanya kepada pemberita selepas sesi Town Hall Parlimen Batu di Dewan Komuniti Batu Muda, dekat sini hari ini.Katanya, kadar sewa yang dikenakan bagi unit rumah PPR yang dikhaskan kepada golongan berpendapatan rendah di bandar raya ini masih RM124 sebulan dan tidak akan dikenakan sebarang cukai buat masa ini.Menurut beliau, bagaimanapun kadar GST sebanyak 6 peratus akan dikenakan ke atas sewa premis komersial seperti gerai, kilang dan kedai serta bagi penggunaan dewan, stadium dan kompleks sukan.

Read more:

http://bm.therakyatpost.com/sosial/2015/03/28/sewa-rumah-ppr-dbkl-dikecuali-gst/#ixzz4LXHfn9Sd

 

[winners]

In M'sia, I believe many daily necessities like flour etc are price controlled items. Also, if 1 does not envy imported goods which will cost more due to lower ringgit, life can get by. Sg imports practically everything, and lower S$ will definitely hurt its local population more. As it is, even if you have no income as in retirees or retrenched PMETs, or don't earn enough so exempted from paying income tax, you still get taxed via GST imposed even on daily necessities. Both countries took different approaches.

The Malaysian government has plans to "gradually remove subsidies from petrol, liquefied petroleum gas and cooking oil in the coming years, said Dr Mohd Irwan Serigar Abdullah, secretary-general of the Treasury". They have to if their budget deficit keeps getting higher and higher. They are blessed with PETRONAS to supplement at the moment.

 

[winners]

Rental of PPR housing is at RM 124/mth and GST is exempted under Public Housing Program.
---------------------------------------------------------------------------------

Cukai Barang dan Perkhidmatan (GST) tidak akan dikenakan ke atas sewa rumah di bawah Program Perumahan Rakyat (PPR) Dewan Bandaraya Kuala Lumpur (DBKL).Datuk Bandar Kuala Lumpur, Datuk Seri Ahmad Phesal Talib berkata antara yang akan dikenakan GST ialah ke atas premis perniagaan atau komersial seperti gerai.“Secara prinsipalnya, GST tidak akan dikenakan ke atas sewa perumahan, kompaun dan saman-saman,” katanya kepada pemberita selepas sesi Town Hall Parlimen Batu di Dewan Komuniti Batu Muda, dekat sini hari ini.Katanya, kadar sewa yang dikenakan bagi unit rumah PPR yang dikhaskan kepada golongan berpendapatan rendah di bandar raya ini masih RM124 sebulan dan tidak akan dikenakan sebarang cukai buat masa ini.Menurut beliau, bagaimanapun kadar GST sebanyak 6 peratus akan dikenakan ke atas sewa premis komersial seperti gerai, kilang dan kedai serta bagi penggunaan dewan, stadium dan kompleks sukan.

Read more:

http://bm.therakyatpost.com/sosial/2015/03/28/sewa-rumah-ppr-dbkl-dikecuali-gst/#ixzz4LXHfn9Sd

But I don't remember the fruits and groceries sellers in the wet markets nor the supermarkets differentiate their GST taxation applicable for those lower and higher incomes. Only selected goods are exempted from the GST, which is applied to everyone across the board, regardless of one's status.

 

[Tekkun]

http://www.kpdnkk.gov.my/index.php/en/consumer/controlled-goods/list-of-controlled-goods

Goods which have been declared as price controlled articles under the Control of Supplies Act 1961.

Sugar, Milk including condensed milk, powdered or dried milk and Evaporated milk, Salt, Cement and Clinker, Wheat Flour, Cooking Oil, Fertilizers, Pesticides, Formic acid or any other acid used for coagulating latex, Mild Steel Round Bars, Kerosene, Prepared or preserved fish in airtight containers, All types of rice ( State of Sabah Only), Paddy ( State of Sabah Only), Petrol Motor Spirit and Motor Gasoline of All Grades, Diesel Fuel, Liquified Petroleum Gas (LPG), All types of bread, Fuel Oil, Chicken, Rubber Wood, Facemask ( 1-ply, 2-ply, N95)

 

[Tekkun]

But I don't remember the fruits and groceries sellers in the wet markets nor the supermarkets differentiate their GST taxation applicable for those lower and higher incomes. Only selected goods are exempted from the GST, which is applied to everyone across the board, regardless of one's status.

Food that is in original form such as live chicken, fish, rice, flour, sugar are all GST exempted. These are all basic and form majority of home cooked staple food for much of the population. Even after processed such flour made into bread, it is price controlled. The rich eat in restaurants and processed / cooked into other forms and that attract GST.

However for petroleum, it is found that subsidies do not work as rich and poor uses the same petrol. And many people are abusing the system such as smuggling diesel and petrol to neighbouring countries. Therefore it decided to cut the subsidy and use the money for BRIM which is direct cash subsidy for the poor earning below RM 2000/ mth bracket, the retired and the old aged. Smuggling diesel is lucrative as fishing boats ply this trade in international waters. Even my regular tekong for my deep sea fishing trip does it.

 

[AHGS14]

The fact remains that TODAY, the poorer folks can at least survive until their time have come to pass or until such time when the state remove the "subsidies".

 

[Tekkun]

The fact remains that TODAY, the poorer folks can at least survive until their time have come to pass or until such time when the state remove the "subsidies".

Yes. The priority is to survive and slowly upgrade.
They must have enough work to do and not all of them are computer grade, figure of speech.
That's why the foreign direct investments must come in and one of the way is to remain as cheap as possible. Cheap RM is one way of attracting these investors. Majority of Malaysians especially in rural areas are not very well off, but they do not suffer as well.

Latest news 2 days ago is Motorola is putting 2 new factories in Malaysia or Peugeot / Renault / Suzuki is buying Proton. This is what we need.

 

[snowbird]

The Malaysian government has plans to "gradually remove subsidies from petrol, liquefied petroleum gas and cooking oil in the coming years, said Dr Mohd Irwan Serigar Abdullah, secretary-general of the Treasury". They have to if their budget deficit keeps getting higher and higher. They are blessed with PETRONAS to supplement at the moment.

Yesterday, MC in Bukit Indah offering 1:3.02 and for more than $2K, they offer 3.025.

Petronas is always the goose that lays the golden eggs.
But with the falling oil prices, the eggs are getting lesser and even smaller.
Despite all the cost cutting measures and reduced capital expenditure, profits had deteriorated drastically with net profit for Q2 plunging 96% this year!
They had laid officially laid off 2% of its 51,000 workforce at the beginning of the year and would continue to cut staff "deemed to be underperforming in order to be a leaner organization".
Despite the poor performance from Petronas, the Federal is still demanding high revenue contribution from them, hopefully they don't kill this goose for more golden eggs.
How much can Petronas contribute will determine the outcome of National Budget 2017.

http://asia.nikkei.com/Business/Companies/Petronas-Q2-profit-down-96-on-poor-sales-write-offs

 

[winners]

Food that is in original form such as live chicken, fish, rice, flour, sugar are all GST exempted.

Just to give you an example, frozen chickens from TESCO, GIANT or wet markets were at RM6/kg on average some 3 or 4 months ago, before the last Hari Raya Puasa. Today, it has gone up to RM8/kg and at most dropped to RM7.50/kg since then. That's a whopping 30% increase despite being a local produce. I'm not even talking about those imported frozen chickens.

Despite the tremendous drop in oil prices during the last 1 year, has TNB ever reduce their electricity tariffs? No. On the other hand, they had even increased their graduated charges: more usage = more cost per unit (kW). One reason they can't could be due to the badly depreciated Ringgit to make up for the shortfall.

 

[winners]

Yes. The priority is to survive and slowly upgrade.
They must have enough work to do and not all of them are computer grade, figure of speech.
That's why the foreign direct investments must come in and one of the way is to remain as cheap as possible. Cheap RM is one way of attracting these investors. Majority of Malaysians especially in rural areas are not very well off, but they do not suffer as well.

Latest news 2 days ago is Motorola is putting 2 new factories in Malaysia or Peugeot / Renault / Suzuki is buying Proton. This is what we need.

Time waits for no man. The world is not going to wait for you to pick up yourself. It's a very hostile world out there. I have also said that they should revert to English as the mainstream medium for schools. Even by doing so, it'll take at least another 10 years to bear fruits. Without a decent English capability, there is only so much 1 can progress in today's society. As a Singaporean, it would be beneficial for me to see Malaysia and its generations degenerate, but I don't because I believe in Prosper Thy Neighbor. My only hatred are against those Tiongs. Enough said.

 

[rotikok]

Time waits for no man. The world is not going to wait for you to pick up yourself. It's a very hostile world out there. I have also said that they should revert to English as the mainstream medium for schools. Even by doing so, it'll take at least another 10 years to bear fruits. Without a decent English capability, there is only so much 1 can progress in today's society. As a Singaporean, it would be beneficial for me to see Malaysia and its generations degenerate, but I don't because I believe in Prosper Thy Neighbor. My only hatred are against those Tiongs. Enough said.

Hopefully when they revert to english, they do not kill off mandarin totally. PRC prefer malaysia over indonesia, be it invest or visiting, simply bcoz the local chinese here speak their language. Ideally, three languages will be malaysian advantages (if the malay willing to learn mandarin). They can target indonesian 200m population market(for this, i prefer Dewan bahasa dan pustaka slowly convert bahasa malaysia to more bahasa indonesian alike), chinese 1.3B ppl market and english for global market. Only English will be too american and not good for this dynamic world.

 

[rotikok]

I always like to argue with people about malaysian standard of living actually not any worse than singaporean. They drive (ok lousy car but still can drive) and live landed housing (ok unsafe but living space is bigger). It is only come to foreign goods or globally priced commodity, they started to feel poor bcoz of weak currency. Now with 30% weaker since low oil price hit, the impact is even greater. Same thing if happen to singaporean if SGD were weaken by 30%, average singaporean will feel poorer and more so since many items they relying on import.

 

[Tekkun]

Just to give you an example, frozen chickens from TESCO, GIANT or wet markets were at RM6/kg on average some 3 or 4 months ago, before the last Hari Raya Puasa. Today, it has gone up to RM8/kg and at most dropped to RM7.50/kg since then. That's a whopping 30% increase despite being a local produce. I'm not even talking about those imported frozen chickens.

Despite the tremendous drop in oil prices during the last 1 year, has TNB ever reduce their electricity tariffs? No. On the other hand, they had even increased their graduated charges: more usage = more cost per unit (kW). One reason they can't could be due to the badly depreciated Ringgit to make up for the shortfall.

Let me try to enlighten you on where to get things cheaper. many blame it on impact of GST. Actually only those companies with turnover exceeding RM500k have to charge GST. Those below ones, no need unless they voluntarily do so. Especially if you are buying local produce, go for those smaller outlets.

Electicity bills...I am very ashamed about this but this one has to do with someone who privatised many Independent Power Producers who have contracted rates to sell to TNB over my next generation. It is very political therefore it is out of topic. One day if we ever meet, I will tell the story. But if you want to know more, go find a book "Memoirs of Tan Sri Ani Arope[FONT=arial, sans-serif]".





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[Tekkun]

Of course RM being weak affect the production chain. It is one of those factors that increases price.
In my opinion, a weak currency is not necessarily a weak country. That is not 100% correct.

 

[cow138]

Patriotism aside Malaysia is in a bad state. From my observation A lot of Chinese are migrating out the country for education economic and security reasons. Especially the young. It's the older folks that have sentimental attachments are still staying back in the old country.
I really hope that Malaysia gets its act back together as the potential there is great. Get rid of racial politics, bring back English as the medium of education and be secular in government and be serious about eliminating corruption .
If Malaysia can do that with 10 years in such a stable scenario, they'll be a force to be reckoned with.

 

[winners]

Let me try to enlighten you on where to get things cheaper. many blame it on impact of GST. Actually only those companies with turnover exceeding RM500k have to charge GST. Those below ones, no need unless they voluntarily do so. Especially if you are buying local produce, go for those smaller outlets.

That's where you are very wrong. I've been to wet markets and those sundry stores selling dry goods, they are all charging the 6% GST. Some even have a computerized terminal because not all type of goods are GST imposed. In order to achieve the turnover of RM500k annually, they will need to sell about RM1,600 per day based on 1 off day per week. From my observation, can those stores selling bean sprouts, toufu, tempe, yellow noodles and packet sauces sell RM1,600 per day? I did asked them about the RM500k turnover to be applicable for GST, but they said they'll have to be prepared just in case they exceed the RM500k for that particular year. These stalls are clearly out to take advantage of the system. Can you not give them the 6% they are asking?

By the way, GST is not imposed on chickens in supermarkets, but they are still selling at RM8/kg today.

 

[AHGS14]

Perhaps, many of you had seen this talk before https://www.youtube.com/watch?v=umLkfADe17s. May be out of topic in property forum, but perhaps not in the current flow of exchanges, particularly to "investors", especially the richer ones who have made a bundle to ponder about.

 

[Tekkun]

Patriotism aside Malaysia is in a bad state. From my observation A lot of Chinese are migrating out the country for education economic and security reasons. Especially the young. It's the older folks that have sentimental attachments are still staying back in the old country.
I really hope that Malaysia gets its act back together as the potential there is great. Get rid of racial politics, bring back English as the medium of education and be secular in government and be serious about eliminating corruption .
If Malaysia can do that with 10 years in such a stable scenario, they'll be a force to be reckoned with.

It is difficult to get rid of entrenched bad habits. It is almost like a culture. It will take at least a generation to change.
It is not that I do not care but it is something beyond my means to control. I can only take care of what is around me. To mitigate currency depreciation, no problems. For me RM weak or S$ strong, I can still manage. But politics? It is beyond me.

 

[Tekkun]

That's where you are very wrong. I've been to wet markets and those sundry stores selling dry goods, they are all charging the 6% GST. Some even have a computerized terminal because not all type of goods are GST imposed. In order to achieve the turnover of RM500k annually, they will need to sell about RM1,600 per day based on 1 off day per week. From my observation, can those stores selling bean sprouts, toufu, tempe, yellow noodles and packet sauces sell RM1,600 per day? I did asked them about the RM500k turnover to be applicable for GST, but they said they'll have to be prepared just in case they exceed the RM500k for that particular year. These stalls are clearly out to take advantage of the system. Can you not give them the 6% they are asking?

By the way, GST is not imposed on chickens in supermarkets, but they are still selling at RM8/kg today.

SHAH ALAM: Trendcell Sdn Bhd, which owns Jaya Grocer supermarket, has become the first company to be charged under the Price Control and Anti-Profiteering Act 2011 for selling ladies' fingers at an unreasonably high price.
Its director Ting Pooi Guan (pic), 59, who represented the company, pleaded not guilty to the charge at a Sessions Court here.
The company was said to have attempted to increase its profit margin by raising the price of ladies' fingers (okra) by RM6.60 per kilo (from RM3.10 on Jan 1 to RM9.70 from Jan 3 to Jan 20).
It was said to have committed the offence at Jaya Grocer’s premises at the Bangi Gateway Shopping Complex in Bandar Baru Bangi, between Jan 3 and Jan 20.

The company is charged with an offence under Section 14(1) of the Act which carries a fine of up to RM500,000 upon conviction.
For second or subsequent offences, the offender faces a maximum RM1mil fine if found guilty.
Sessions Court judge Ahmad Azhari Abdul Hamid set June 9 for mention.

http://www.thestar.com.my/news/nation/2015/05/05/company-ladys-fingers-profit/

You can also report them to: http://www.kpdnkk.gov.my/index.php/en/