Oleh/By : DATO' SERI DR. MAHATHIR BIN MOHAMAD
Tempat/Venue : CAPE TOWN, SOUTH AFRICA
Tarikh/Date : 25/08/95
Tajuk/Title : SPEECH IN THE SOUTH
AFRICAN PARLIAMENT
I am indeed honoured to be invited to
address this august Assembly today. I feel especially
privileged to be in your midst, to be among the many
freedom fighters who had waged a long struggle to make
this chamber representative of your nation's peoples.
I also salute those among you who had the courage and
the resolve to switch course, to work with the
majority, and negotiate this peaceful transition to a
democratic and non-racial South Africa.
2. The accomplishment of your struggle is indeed
exemplary, a feat which all of us are proud of. You
are held high as a symbol of what patient negotiation,
determination and magnanimity can accomplish against
all odds. The approach you have taken in restoring
peace and stability in South Africa is an example that
could be emulated by those countries on the continent
and elsewhere which are still torn by internal strife
and conflict. With the establishment of the Government
of national unity, you have made a quantum leap in
order to set in place a new order to achieve harmony in
diversity.
3. As the people of South Africa embarks upon the
long journey towards reconstruction and development, it
is inevitable that you would face many challenges, many
of which we in Malaysia are familiar with, given the
many common circumstances and background that our two
countries share.
4. Like you, Malaysia is a multiracial, multilingual,
multicultural and multireligious country that had to
face the challenge, upon independence, of having to
narrow the income gap between the haves and the haves
not; to remove the identification of race with economic
functions, and to quickly accelerate the development of
skills and the acquisition of knowledge for the
neglected majority of its population. For the first
twelve years after independence, we thought we had an
affirmative action programme in place until we were
rudely awakened in May 1969, and made to realise that
it was not sufficiently focused nor appropriately paced
to match our peoples' heightened expectations. We then
had to put in place a New Economic Policy (NEP), which
made it possible for the Bumiputeras or the sons of the
soil, the indigenous people, to own more than 20
percent of the nation's wealth by 1990. Whilst it
still fell short of the government's target of a 30
percent share, it showed that as an affirmative action
policy instrument, the NEP was effective. As the
objective was not fully achieved through the NEP, a new
policy called the National Development Policy or NDP,
was launched which whilst still maintaining its
affirmative action thrust, has incorporated recognition
that economic development must be undertaken with
greater justice and social responsibility.
5. Our journey in social and economic engineering was
not without hassles and criticisms. Malaysia still
suffers severe criticisms from many quarters over the
NEP. The political leadership was labelled as racist
and discriminatory. Through all these the coalition
partners of race-based parties in the Government stood
fast. It was difficult especially for the Chinese-
based parties, for the NEP was perceived by many in the
Chinese community as discriminating against them in
favour of the indigenous people. But they stood firm
believing fully that political stability depends on
minimising racial tension, and for as long as there was
disparity in the economic well-being of the two major
races, racial tension will continue. The resultant
instability would undermine economic development. This
would amplify and perpetuate instability and the
problems which undermine the nation.
6. While these socio-economic programmes were being
carried out, the government had also to ensure that
economic growth would not be retarded. Indeed, the NEP
could not have been implemented if there was no growth,
for it was premised on the expansion of the economic
cake and not on the redistribution of existing wealth.
Nothing is calculated to destabilise the nation more
than a policy of robbing Peter to pay Paul. But Peter
has to be reasonable too and accept giving Paul a
bigger slice of the enlarged cake.
7. Coupled with the above programme, the government
introduced several other policy measures to ensure the
country's sustained growth. These include the `Look
East Policy', `Malaysia Incorporated' and the
Privatisation Programme. Malaysia has no ideology. We
pride ourselves in being pragmatic. We are quite
prepared to borrow from even our enemies if we think it
is worth doing so. We had national monopolies before,
we planned our economy, we set up statutory bodies and
state-owned corporations. When any one of them failed
we have no qualms about dropping them. We have no
emotional hangover. And so today we are as comfortable
with a free-market economy as if we have never had
state monopolies and bureaucratic mandarins.
8. On July, 1991, the Malaysian Government announced
a framework vision to make Malaysia a developed country
by the year 2020. Our concept of being developed does
not simply focus on per capita income but on the
quality of life and morality as well. In order to
achieve the targets of the NDP and the attainment of
developed nation status by 2020, an average growth of 7
per cent per annum is required. Such a rate of growth
will result in doubling the output of goods and
services in real terms every 10 years and would achieve
a per capita income of RM17,000 by the year 2020. This
is arguably an ambitious projection but it is not
unachievable.
9. The pursuit of the objectives of the NDP will
entail an accelerated industrialisation programme.
Where before we were almost exclusively exporters of
primary commodities, our US$63 billion of export in
1994 was made up of 78 percent of manufactured goods.
There is full employment which forces us to switch to
higher value added products in order to increase the
income of our workers. Where initially we had to rely
on foreign enterprise for building our industrial
capacity, we have now been able to grow our own
domestic entrepreneurs and industrialists. What is
more, much of the identification of race with economic
function has been eliminated. The races are less
envious of each other because wealth is more equitably
shared.
10. We have taken the pragmatic route and we think we
have achieved a measure of success. Our way may not
work every time everywhere even if circumstances are
similar. But we think that there is merit in looking
at others. We are sure we can learn something from
South Africa and its experience. If our experience is
of interest to you we would like to exchange notes.
11. Malaysia believes that the new South Africa has
the best fundamentals for growth. You are richly
endowed with natural and human resources. Large tracts
of your country are fertile and can sustain a variety
of agricultural products. Your infrastructure, in
parts of the country, is as developed as the best in
the world. You have a sophisticated and well developed
financial system. You are rich in human resources that
can be trained to tap its full potential. In short,
you are well placed to take off, to be an engine of
growth for the entire Southern African region. Western
economists coined the word `Asian tigers' to describe
some of the more vibrant economies in our part of the
world. Let me borrow a label that I have heard used by
one of your leaders, Premier Tokyo Sexwale, to describe
the potentials of the new South Africa as the first
economic powerhouse on the continent, the first
`African Lion'.
12. With the demise of apartheid and emergence of
democracy in South Africa and the elections in
Mozambique and Angola, there is growing optimism that
the South African sub region would usher in an era of
peace and stability. We note that the formation of the
Southern African Development Community (SADC) and the
Common Market for Eastern and Southern Africa (COMESA)
are positive attempts to harness the Southern African
regional potential. The SADC, in setting for itself
the targets of eliminating trade barriers and the
creation of the common currency system by the turn of
the century, are not dissimilar with that of ASEAN, the
Association of Southeast Asian Nations, in promoting
regional economic integration. Economist and business
leaders have often stated that the centre of gravity of
economic growth during the next decade will revolve
around the Pacific Basin. Within the Pacific Basin
itself the countries of ASEAN, namely Brunei,
Indonesia, Malaysia, the Philippines, Singapore,
Thailand and Vietnam are already demonstrating growth
performances far exceeding those of other areas in the
world. Within this ASEAN region, Malaysia stands as a
growth centre offering an investment environment of
stability, confidence and dynamism. Many companies
from leading industrialised nations have identified
Malaysia as a spring board to meet the challenges of
the expanding markets in the Asia-Pacific and also as a
centre for exports to the developed nations of Europe
and America. South African businesses would find
Malaysia a good host and profitable partner for their
investment. Given the respective strategic locations
of Kuala Lumpur and Pretoria in their sub-regions, I
believe we can forge cooperative ties, building a
network of trade and economic ties between Southeast
Asia and the Southern African region. This new
framework is important not just for Malaysia-South
Africa relations, but also for South-South cooperation
as a whole.
13. For long, developing nations such as ours have
looked towards developed nations as the sole source and
salvation for our economic development. While we
continue to look towards developed nations, there is
great potential for economic cooperation between
developing countries in this region and those in the
Asia-Pacific region. I would encourage the emerging
South Africa to examine the potentials by also looking
towards the East.
14. My address would be incomplete without referring
to the city of Cape Town itself. I have heard much
about this charming city's rich history, its beauty and
accomplishments. I am delighted to be able to see
these attractions and enjoy the warmth and the
friendship of the people here.
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