Funds are drying out in the country. Many of our local companies are facing tremendous problem surviving in this economic downturn.
Yet, our brilliant deputy prime minister has suggested to Malaysian investors to purchase ailing Japanese companies, which have the technology that can be utilised by the country.
We have done the same thing in the past. Remember how Proton was created? Mitsubishi sold us an outdated technology. What about Lotus? Did the national car maker, Proton, benefit from the acquisition of Lotus?
Proton is still plague with a low quality perception problem. It is still not an innovative car maker which can compete with the world's best companies.
Justifying his call, Muhyiddin Yassin said this was because the Japanese economy was in dire straits due to various internal issues, such as difficulties in obtaining workers, increasing costs, the inability of banks to fund projects and problems faced by its government.
Aren't we facing the same problems? Why should Malaysian investors put their money into ailing Japanese companies? Do we have the right skills, management know-how and market connections to help turnaround these companies?
He added, “Some companies are almost bankrupt but have the potential to rise again. Now, Japan has opportunities and if we can afford it, we can purchase companies which have the technology that can be brought back to Malaysia so that it will be ours.”
If we can really afford it, the government should spend the money to reinvest in the local companies, improving our education system, enhancing our public infrastructure and renew the urban areas.
As though there are not enough disasters in the country, Muhyiddin is trying to create more overseas. Can any real economists speak up?
The Japanese host must have served the deputy prime minister the best sushi and Kobe beef.