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Oleh/By  	:	DATO SERI DR. MAHATHIR BIN MOHAMAD
Tempat/Venue	:	BOAO, HAINAN PROVINCE, CHINA
Tarikh/Date	:	27-02-2001
Tajuk/Title 	:	THE OFFICIAL LAUNCHING OF THE 
			BOAO FORUM FOR ASIA
Versi 		:	ENGLISH
Penyampai	:  	PM


	   
   
   I  would  like to compliment and thank President  Jiang
   Tse Min and the Government of the People's Republic  of
   China  for conceiving this idea of an Asian Forum where
   Asian  leaders, past and present, can come together  to
   discuss and debate and hopefully to give birth  to  new
   ideas on matters concerning Asia and also the world.
   
   2.   The forum is especially timely as the world is going
   through one of its periodical revolutions which puts many
   communities under tremendous stress and strain.  We have
   already seen how perfectly healthy economies can crumble
   merely by the currency traders devaluing their currencies.
   We  believe that it is only the beginning.   Many  more
   things  are  coming as old ideas about sovereignty  and
   independence  make way for such previously  unthinkable
   concepts  as a world without borders, of globalisation.
   Then  there  is democracy which becomes more  and  more
   liberal everyday and is very disruptive, even leading to
   virtual anarchy.
   
   3.    When  countries became independent they  believed
   that they would be free to manage their own affairs  by
   themselves.  Foreign countries may not interfere in the
   internal  affairs of independent countries.   But  they
   did  not  reckon  with the power of  the  international
   media  or with the Non-Government Organisations (NGOs).
   These   are   not  bound  by  the  understanding   that
   Governments  may not interfere in the internal  affairs
   of  other countries.  The international media  and  the
   foreign-funded  NGOs  easily cross  borders  and  often
   undermine national Governments to the point where  they
   would find themselves unable to govern or be overthrown
   even.  Of course the media and the NGOs claim they were
   justified  in  doing this.  Weren't  these  Governments
   oppressive  and  corrupt?  Without outside  help  their
   people  would not be able to overthrow them.  But  then
   once  people  get  the  idea that  they  can  overthrow
   Governments, even elected Governments, they  would  not
   stop  overthrowing  them.  The  result  is  not  better
   Government   but  probably  a  series  of   ineffective
   Governments or anarchy.
   
   4.    What  the International media and the  NGOs  have
   done  is  to  prove  that independence  does  not  mean
   freedom   from  foreign  interference,  domination   or
   hegemony.   Once such interference become  common,  the
   powerful  countries  felt free to ignore  international
   niceties and to interfere openly in the affairs of weak
   countries.  The excuse given at first was violation  of
   human  rights  but  now  it has been  extended  to  bad
   governance,  to  failures to adopt prescribed  business
   practices,  to less than acceptable level of democratic
   practices, etc.  Any excuse is good enough.
   
   5.    Actually today the independence of nations  is  a
   mockery.   Weak nations cannot expect to  manage  their
   own  affairs freely.  They must submit to international
   scrutiny and even to international management.  At that
   stage there is no independence any more.
   
   6.    Perhaps the loss of independence is a good thing.
   But  it  does  seem that independence is a function  of
   strength.   If a country is strong it can  do  what  it
   likes,  it can even attack and kill people and  yet  it
   will  remain independent.  But if it is weak, even when
   it  is doing the right thing, it may be accused of  all
   kinds  of  misdemeanours and would be placed under  the
	   surveillance and control of the strong.
   
   7.    In  the countries of the strong private  citizens
   may  set up "watch committees" to oversee the behaviour
   of  weak  countries.  That they have  no  mandate  from
   anyone  does not put them off.  They consider it  their
   divine  duty  to  right the wrongs of the  world.   And
   frequently  their public pronouncements  undermine  the
   economic,  political  and  social  stability  of  whole
   nations. The people of these countries suffer  as  they
   would have no means to seek redress.
   
   8.    Many of the Asian countries are quite defenceless
   and exposed.  When the currency traders destroyed their
   economy  they could appeal to no one for help.   Indeed
   if  any  country  offered help, that country  would  be
   chastised  and  told  to  cease  helping.    It   would
   undermine the IMF.  Clearly the IMF wanted to  use  the
   currency  crisis to foist its policies on the  troubled
   countries and to control them.
   
   9.    Now  globalisation is on its way.  In preparation
   for   the   borderless  world  the  giant   banks   and
   corporations of the very rich are merging to form  even
   mightier giants.  Obviously when the weak countries are
   forced to open their borders these giants will come  in
   to  compete with their puny local counterparts.   There
   can  be no doubt as to the results.  The domestic banks
   and  corporations will go under.  Eventually the  world
   will  have  only  a few international giant  banks  and
   multinational  corporations.  They will  be  so  highly
   capitalised  and powerful that the Governments  of  the
   third  world  countries will be  totally  dominated  by
   them.
   
   10.   They will then compete among themselves  or  they
   will  continue to acquire the competitors or  to  merge
   again.  They  will not confine themselves  to  specific
   industries  but will diversify.  In the end there  will
   be  only a few banks and corporations left.  They  will
   operate worldwide and they will insist that Governments
   meet  their  demands for total deregulation  so  as  to
   remove  all  obstacles  to their pursuit  of  unlimited
   profits.
   
   11.   Frightened, Governments of the powerful countries
   may  try  to curb these giants, to break them up.   But
   even  the powerful Governments are not going to be able
   to  do this.  The powerful corporations and banks  will
   wield  so  much  influence  that  Governments,  however
   powerful,  will have to bow to them.  The  media  which
   they  own  and  the NGOs which they finance  will  back
   them.  Remember the LTCM and how it was bailed out.  No
   one was punished for nearly destroying the finances  of
   the rich countries.
   
   12.   Perhaps  I have painted too grim a picture  of  a
   globalised  free trade world.  Surely the  corporations
   and  the banks do not have this ambition in mind.   But
   when the Bretton Woods Agreement was discarded and  the
   currencies allowed to float, no one predicted  that  in
   1997  a handful of currency traders could wield so much
   power  over  so many countries.  No one predicted  that
   the  currency  traders could impoverish whole  regions,
   throw  millions out of jobs, provoke violence and cause
   the  fall of Governments.  But we do know now that they
   could and they did.
   
   13.   Politicians are not the only people who yearn for
   power.  Business people can have the same yearning too.
   
   14.   There  is  a  need for us to  imagine  the  worst
   scenario and to be prepared to deal with it.  We do not
   want  to see a repeat of the currency turmoil when  the
   Asian  countries were caught by surprise and went  down
   like ninepins.
   
   15.   It  may be coincidental that the currency traders
   are almost all non-Asians.  It may also be coincidental
   that  the countries they damaged the most were  Asians.
   But coincidental or not, what is certain is that Asians
   are  too  naive and trusting.  They never  bothered  to
   study the possible danger to themselves from the system
   of  floating rates and the free trade that they had  so
   readily accepted.
   
   16.  While we should welcome the revolutionary concepts
   and  ideas  that we are being introduced to, we  should
   also  study  closely the implications and  the  dangers
   that  will  come  along  with  them.   The  frightening
   picture  that I have just painted may be too  fanciful.
   But  free trade can have frightening consequences which
   for  small nations can be very destructive.   Even  the
   mere lowering or abolishing of import duties may result
   in  depleted  treasuries for countries  which  have  no
   other worthwhile taxes.  Income and corporate taxes  or
   value added tax are not reliable sources of revenue for
   the Governments of poor countries.
   
   17.   What the Asian countries need is a forum  to  air
   these  problems  and fears and to receive  serious  and
   sympathetic  hearing.  They need to discuss  new  ideas
   thoroughly.   They need to do serious  studies  and  to
   work  out  different scenarios.  From the results  they
   should  make their common stand in international  fora.
   I  believe  the Boao Forum can do this and  more.   The
   Boao Forum can be of great service to Asians and to the
   world in the challenging years of the 21st Century.
   
   18.   Because  of  that we must also look  at  positive
   ideas  which  can  result from  the  meeting  of  Asian
   leaders,  leaders  who  naturally  are  close  to   the
   problems and the state of affairs in Asia.
   
   19.  We know that there are large numbers of people  in
   Asia  who  are living from hand to mouth.  Many  Asians
   countries are terribly poor.  There really is no reason
   why  some people should be obscenely rich while so many
   live in abject poverty.  There is even less reason  for
   people to be poor when the world of today, the world of
   high  technology and high added value is so very  rich.
   Obviously   there   is   something   wrong   with   the
   redistribution of wealth across the world.  It does not
   reflect  a  world which has been reduced to a  village.
   In a village we share everything fairly.
   
   20.   In  the early years of the UN there was a sincere
   wish  to  help the poor.  But we know that the approach
   adopted  was not successful.  Foreign aid was  misspent
   and loans simply made permanent debt slaves of the poor
   countries.  As a result the rich have reneged on  their
   promises and the poor have become poorer.  Or the  rich
   will extend aid for the purpose of furthering their own
   agenda.
   
   21.   Yet  today there is an even greater need for  the
   poor  to be helped.  If making available funds or loans
   is  not  productive,  then the International  community
   should just build needed infrastructure for the poor.
   
   22.   We know that adequate and relevant infrastructure
   can  facilitate the development of countries.  The mere
   construction  of  infrastructure can provide  jobs  and
   contracts  for the locals.  Construction of  roads  and
   railroads  will help land-locked countries  reduce  the
   cost  of  transportation of raw material  out  and  the
   imports of needed manufactured goods.  The benefits  of
   power  plants need not be enumerated.  The great rivers
   can  be developed for cheap transportation the way  the
   Rhine  and  the Danube have been developed.   Pipelines
   can not only be for oil and gas but also for water from
   melting  snow in the north to the arid deserts  of  the
   South.
   
   23.  Ports and airports are also much needed facilities
   for  the poor countries but they will never be able  to
   afford these on their own.
   
   24.  Today's IT economy can only be beneficial if there
   are  computers  and other equipment available.   If  is
   ironical that the rich can make their costs lower  with
   IT  when  the  poor must continue to bear higher  costs
   because they cannot afford the necessary computers  and
   equipment.
   
   25.  The cost of infrastructure is very high.  The poor
   cannot  possibly  build all these by  themselves.   The
   current   foreign  development  aid   would   also   be
   inadequate.   A  new reliable source of funds  must  be
   found.
   
   26.   It  is  normal  in any country practising  market
   economy  for  the  rich to be taxed  and  the  poor  to
   benefit  from the expenditure of the revenue  collected
   by  the  Government.  It is time the  world  thinks  of
   taxing  the rich countries on a sliding scale in  order
   to  gather sufficient funds to finance the construction
   of  infrastructure in the poor countries.  The basis of
   the  assessment can be worked out and agreed upon.   So
   can  the  agency which will collect and administer  the
   revenue and implement the projects be agreed upon.   Of
   course the agency must be elected democratically by the
   UN  and  so  must the international civil  servants  be
   chosen.  No one country should dominate.
   
   27.   The rich might question the moral or legal  basis
   for  taxing  them.   But they had  insisted  that  poor
   countries  should open up their economies for  them  to
   exploit.   Of course they are going to argue  that  the
   flow  of  capital  into  the poor  countries  would  be
   beneficial  for  them.  I am not so  sure.   Malaysia's
   experience is that capital can also flow out  and  when
   they do this rapidly the economy can collapse.  In  any
   case  the  globalisation of the world will  profit  the
   rich mostly.
   
   28.  Even the expenditure on infrastructure development
   from  the  tax on the rich will benefit the rich  also.
   Only  they  have  the know-how, the  machines  and  the
   trained  experts to carry out the projects.  They  will
   therefore  get  back a good portion of the  money  they
   paid for the world infrastructure tax.  But beyond that
   when the poor countries become richer they will provide
   excellent  markets for the goods and  services  of  the
   rich.  It will be a win-win affair.
   
   29.  The UN as we all know is in need of reforms but we
   know   that   this  is  not  going  to   happen.    The
   fundamentals of the UN structure will resist change for
   obvious   reasons.   But  what  I  have  suggested   is
   peripheral  and  minor.  It will cost the  rich  really
   very little yet it will bring about tremendous benefits
   to the poor.  Certainly it will enrich them a little.
	   
   30.   There  will be no debt for the poor  to  pay  and
   neither  will they be able to misuse their funds.   The
   infrastructure projects can be decided and  implemented
   by  an  International  body which  will  be  guided  by
   experts.
   
   31.   There can be no doubt that this tax on  the  rich
   countries  will  help spread the wealth  to  the  poor.
   Since  part  of the wealth of the rich comes  from  the
   exploitation of the resources of the poor, it  is  only
   fitting that they return some of it to the poor.
   
   32.   In the 21st century serious efforts must be  made
   to eliminate poverty throughout the world.  In Malaysia
   there   is  practically  no  absolute  poverty.    Even
   relative  poverty is minimal.  China, Japan  and  Korea
   have  been  able  on their own to reduce  or  eradicate
   poverty.  But for many countries of the world there  is
   no  hope that they can, on their own, eradicate poverty
   in  their  midst.   Foreign aid has  failed.   So  have
   foreign  loans.   Only an International Infrastructural
   Development  Programme funded through an  International
   tax   and   confining   itself   to   building   needed
   infrastructures  can  overcome  the  poverty  of  these
   nations and the poverty of their people.
   
   33.   When  I  first  heard of a globalised  borderless
   world I thought it was ridiculous.  If Malaysia has  no
   borders then it would not be independent.  It would not
   be able to collect import duties.  It would not be able
   to  protect its fledging industries, its tiny banks and
   businesses.
   
   34.    We   had  struggled  long  and  hard   to   gain
   independence after 450 years of foreign rule.  We  have
   become  independent only about 40 years.   Now  we  are
   being told to literally give up our independence.
   
   35.   We were told that a borderless Malaysia would  be
   good  for  us.   This was before the  currency  traders
   robbed  us.   We  were not convinced then  and  we  are
   certainly not convinced now.  But what can we  do?   We
   helped  create the World Trade Organisation  after  the
   frustrating rounds of the GATT talks.  Now we must make
   good  our  undertaking  to the  WTO.   We  must  accept
   globalisation and a borderless Malaysia.
   
   36.   If  Malaysia can accept globalisation  and  being
   borderless, certainly the rich countries of  the  world
   can  and should accept the idea of an International tax
   in order to help the poor of the world.
   
   37.  But first of all we the Asians, largely poor, must
   accept the idea.  Japan is the only rich country  among
   us but Japan has always been more generous than all the
   other rich countries.  I don't think Japan is going  to
   reject  this idea.  We should at least agree to discuss
   this  world  infrastructure tax.  One day  we  together
   must push for its adoption by the world, by the UN.
   
   38.   As  I  said the world is never as rich as  it  is
   today.   It  is immoral that in a world so  rich  there
   should   be   people  and  countries   which   are   so
   distressingly poor.
   
   39.   A  globalised  world, actually  a  world  nation,
   should  not let the rich exploit the opening up of  the
   borders of countries without exacting payment.  A world
   nation  would be meaningless if the rich can make  more
   money but are exempted from taxes.  Just imagine if one
   day  this  world  must go to war with  another  planet.
   Wouldn't we think of everyone becoming involved in  the
   defence  of the world?  If everyone including the  poor
   must take up arms, shouldn't they be entitled to a  bit
   of the wealth of this world?
   
   40.   This  forum should be tasked with  the  study  of
   globalisation and a borderless world, of democracy  and
   human  rights,  of good governance, of  corruption  and
   cronyism  and  all the new ideas which  we  Asians  are
   expected  to  accept and to practise.  We should  study
   them  critically because they are not perfect and  they
   need to be improved.  We should be prepared to correct,
   modify or even reject them if we think that they  would
   do us and anyone something bad.
   
   41.  Asians have a right to think for themselves.  They
   should  not be passive receptacles for non-Asian ideas.
   They  must  put  up their ideas with righteousness  and
   confidence.   We Asians are not bereft  of  wisdom  and
   innovativeness.   Our ideas are every bit  as  good  as
   anyone else's.  They can be good not only for ourselves
   but for the world as well.
   
   42.  Long ago we gave the world their religions and the
   wisdom  of Confucius, Tagore and others.  It cannot  be
   that  today we are totally lacking in wisdom and bereft
   of  solutions for the ailments of mankind.  I  am  sure
   that  even  within this hall there are brilliant  minds
   capable of shaping a greater future for mankind.
   
   43.   We should not reject the ideas and ideologies  of
   the  non-Asians of course.  But we must  remember  that
   they  are never perfect, that in the end they would  be
   rejected  by the very people who formulated  them.   If
   they  can ignore their failures and come back with  new
   ideas  which they again claim to be perfect, why should
   Asians  be  shy  of  formulating  Asian  ideas  on  the
   governance of mankind?
   
   44.   It is the height of arrogance for anyone to claim
   their  values  alone are universal values.   Our  Asian
   values  too can be, and probably are universal  values.
   We must stake a claim and prove it.
   
   45.   Asia  and Asians have a great future in the  21st
   century.  We are not going to dominate the world.   The
   21st  century  will be the century of the  world.   But
   Asians  must  play a big role in the creation  of  this
   century of the world.
   
   46.  This forum may discuss more mundane things but  it
   will  only  make  its  mark if  from  its  meeting  and
   discussions, great ideas emerge, ideas which will be as
   world  shattering as those of the ancient sages of  our
   past.

   Sumber : Pejabat Perdana Menteri

                                          


 
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