Ministry of Finance of Malaysia

11/17/2021 | Press release | Distributed by Public on 11/16/2021 21:46

The Hasanah Forum 2021- From Charity To Justice: Vision For An Equal And Just Malaysia

The Hasanah Forum 2021- From Charity To Justice: Vision For An Equal And Just Malaysia

Speech 17 November 2021

YB SENATOR TENGKU DATUK SERI UTAMA ZAFRUL TENGKU ABDUL AZIZ
MINISTER OF FINANCE MALAYSIA

OPENING REMARKS FOR:
THE HASANAH FORUM 2021-
FROM CHARITY TO JUSTICE:
VISION FOR AN EQUAL AND JUST MALAYSIA

17th NOVEMBER 2021
9.30 AM

Yang Berbahagia Tan Sri Md Nor Yusof, Chairman, Yayasan Hasanah

Yang Berbahagia Dato' Amirul Feisal Wan Zahir, Managing Director,

Khazanah Nasional Berhad and Trustee, Yayasan Hasanah

Yang Berbahagia Dato' Shahira Ahmed Bazari, Managing Director and Trustee, Yayasan Hasanah

Members of Yayasan Hasanah Board of Trustees,

Distinguished speakers,

Members of the Press,

Ladies and gentlemen,

  1. Assalamualaikum WBT and a very good morning,
  2. It is a great pleasure for me to be here this morning, and an honour to launch the inaugural Hasanah Forum 2021 themed "From Charity to Justice - Vision for an Equal and Just Malaysia".
  3. It is timely for Yayasan Hasanah to organise this forum as we reflect on these difficult times. The years 2020 and 2021 will be challenging for the world, as well as for Malaysia. We have endured the trials and tribulations of an unprecedented pandemic that no one could have predicted, which has tested us both personally and collectively as a nation.
  4. Alhamdulillah, we are emerging from the darkest of times and there is light at the end of the tunnel. We are now in Phase 4 of the National Recovery Plan, and systematically reopening our economy and country in line with fact-based risk assessment, after more than one and a half years of strict pandemic containment measures.
  5. I believe the pandemic has opened our eyes to many things that we previously took for granted - including going out to makan, mingling with friends and loved ones. We never imagined that one day we would be unable to hug a loved one, laugh with friends and family over dinner, or shake hands with a new acquaintance.
  6. Therefore, it is truly remarkable that over 95% of Malaysian adults and 65% of adolescents are now fully vaccinated, placing Malaysia's vaccination rate among the highest in the world. I am glad that many Malaysians may again resume normalcy in their daily lives by going out and socialising again, albeit within safe protocols.

Ladies and Gentlemen,

Impact of Covid-19

  1. The pandemic has further worsened socio-economic inequalities between and within countries. For many nations, Covid-19 has undone gains achieved in recent decades, which may see intergenerational consequences - causing poverty levels to rise and accelerate overall inequality. We need to address this collectively by working together as a national family and as part of the global human race. The Government is committed in playing its role and has implemented several stimulus packages such as PRIHATIN, PENJANA, PERMAI, PEMERKASA and PEMULIH, but we are aware that the path to a full recovery towards pre-COVID levels may be long and difficult.
  2. The theme for today's forum, premised on the principle that every human being has the right to live with dignity, is very much on point. As such, it is imperative for us to move from looking at addressing inequality merely as a form of charity, to addressing inequalities from the perspective of addressing human rights. It is about Social Justice. To quote Joseph Stiglitz from his book, The Price of Inequality: How Today's Divided Society Endangers Our Future, what we should be striving for is "..a society…where there is a sense of shared destiny, a common commitment to opportunity and fairness,…where we take seriously the Universal Declaration of Human Rights, which emphasizes the importance not just of civil rights…and not just the rights of property but the economic rights of ordinary citizens."
  3. By that quote, we can infer that, in some cases, just because something is 'equal', it does not necessarily mean it is fair, just or equitable. Access to opportunities, for example, results from levelling the playing field so that those who are less financially fortunate can also move ahead and upward. As a government, this is our mission for our rakyat, regardless of race, creed or colour.

Civil Society's Role in Helping to Implement Budget 2022, a Budget by the People, for the People

  1. This government is very much aware of the challenges faced by ordinary citizens due to this pandemic. Hence, we had hundreds of engagements with numerous sectors and stakeholders, including leaders from all sides of the political divide. In essence, Budget 2022 had been crafted by the people, and hence it is a budget from the people and for the people.
  2. COVID-19 also created an extraordinary situation in which governments have struggled to mitigate the negative impact of the pandemic. For many countries, this required the assistance and partnership of other stakeholders such as the private sector and civil society organisations. Hence, our Government's introduction of the whole-of-nation concept, or Keluarga Malaysia.
  3. To that end, in implementing Budget 2022, we will continue to partner with the private sector and civil society, to begin a country-wide movement towards national recovery. But, not all recoveries are created equal. An economic recovery measured purely based on GDP may be good, but most importantly, does that recovery create jobs and enhance the wellbeing for all Malaysians, especially the most vulnerable?
  4. This is also why as we thought long and hard on the theme for Budget 2022, we felt that the most reflective of our aspiration to help each other heal and prosper is "Keluarga Malaysia, Makmur Sejahtera". To that end, the budget builds upon three key pillars namely Strengthening Recovery, Building Resilience and Driving Reforms and has three focus areas:
  • First : The Rakyat's Well Being;
  • Second : Resilient Businesses; and
  • Third : A Prosperous and Sustainable Economy
  1. Categorisation aside, at the heart and core of all the three focus areas is our Rakyat, for without People, none of the plans and blueprints in these focus areas could create a society or an economy. This Budget is also designed to align with the Twelfth Malaysia Plan (12MP) framework. It is formulated not only as a continuation of past economic assistance and stimulus packages, but also equipped with new initiatives to ensure inclusivity and sustainability.
  2. The budget's first key focus is the Rakyat's wellbeing, whose key initiatives include cash assistance that has been increased to RM8.2 billion for 9.6 million households in need. This is coupled with the expansion of social protection coverage through an allocation of RM500 million for initiatives such as the expansion of i-Saraan to include those aged between 55 to 60, the SPS Lindung which provides social protection coverage for the self-employed and those in the informal sector, the enhanced job search allowance under the employment insurance scheme and the Kasih Suri Keluarga Malaysia Programme specifically to benefit women of up to 55 years of age who are doing unpaid care work at home and are engaged in full-time domestic work.
  3. In terms of sustainability, RM37 million is allocated to empower local communities, by increasing to 1,000 the number of forest rangers recruited from amongst army veterans and Orang Asli such as the Jahai Tribe. I have quoted only a few measures on the rakyat's welfare from Budget 2022, and there are many more.
  4. But what is equally important in terms of social protection support and safety net is the delivery of these measures. To this end, the Government's partnership with CSOs is highly crucial, particularly in ensuring that everyone is cared for and gets the support they need. CSOs and social enterprises are crucial stakeholders in our nation's road to healing. This is because they are often better able to access pockets of society more efficiently and therefore, better able to customise the appropriate interventions. In short, civil society are key development partners for the Government.
  5. Often called the "third sector", civil society's role has become even more pronounced since the beginning of the pandemic. The World Bank defines civil society as "…non-governmental and not for profit organizations that have a presence in public life, express the interests and values of their members and others, based on ethical, cultural, political, scientific, religious or philanthropic considerations". Examples of some organisations who have been at our national forefront during this pandemic include Mercy Malaysia and the Malaysian Red Crescent.
  6. As we move forward, CSO and non-governmental Organisations (NGOs), big or small are key collaborators and critical stakeholders to our national recovery. For example, in 2021, the government decided to collaborate with the Government-Linked Companies and Government-Linked Investment Companies' Disaster Response Network (GDRN), as a conduit to channel aid to the CSO's. Due to their strong hyperlocal network, it was the CSOs who helped us reach the most vulnerable with speed and efficiency.
  7. Another excellent example is the government's collaboration with Yayasan Hasanah. Last year, during the peak of the pandemic, the government created the Hasanah Special Grant (HSG) as part of the PRIHATIN package, with the aim of supporting projects that improve the quality of life and socio-economic resilience of the B40 communities, including children, refugees, Orang Asli, the ageing community and the homeless. This was done by partnering with CSOs in the areas of education, supporting livelihoods and providing direct food aid, specifically during the MCO.
  8. Through this collaboration, to-date the HSG has allocated RM50 million over two phases. A total of 110 projects were successfully implemented in the first phase, and some of these projects have been earmarked for scaling up which will ensure more sustained benefit to the communities.
  9. I am happy to share that as of August 2021, the 110 projects have covered 140,000 beneficiaries largely from vulnerable communities, and approximately 400 endangered animals for their care and upkeep. The projects delivered a wide range of benefits. For examples, to date, more than 70,000 food packages have been distributed to roughly 12,500 families and individuals from B40, Orang Asli and special needs communities.
  10. One that deserves special mention is Tanoti, a body that works with Sarawakian women weavers and artisans to produce handcrafted fabrics, hence contributing to their heritage conservation. Through the HSG, in particular, Tanoti supported and skilled local B40 communities to produce certified OSHA fabric face masks, which were distributed to 28,000 students.
  11. As a result, via intensive training programmes, equipment support or direct hiring by the CSO's for specific initiatives, the HSG projects empowered 2,100 individuals and 132 families to re-build their impacted livelihoods. Another good example is Global Environment Centre's (GEC) initiative to hire Orang Asli to create an eco-trail in Perak and Global Peace Foundation's training of Orang Asli families on agroforestry.
  12. Further, in recognition of the need for mental health support and education at this crucial time, HSG also supported the establishment of two helplines to provide psychological first aid and spread awareness on the importance of mental health care especially among students.
  13. HSG also supported vulnerable groups such as students with down syndrome and autism, who received dedicated learning sessions; single mothers and women from B40 families, who were trained in tailoring batik products in Kelantan; and B40 families in the Klang Valley, who have become 'kuehprenuers', commercialising traditional kueh.
  14. I could be speaking for the entire two days of the forum if I am just recounting examples! But I think you get the idea - through HSG, these are instances of how the Government has successfully collaborated and engaged with CSO's across the spectrum.

Ladies and Gentlemen,

Strengthening Public-Civil Society Partnership to Heal the Nation

  1. The pandemic may have wrought havoc on various aspects of our existence, but it has also opened numerous opportunities for us to reflect and act on, so that we can rebuild our lives better and develop resilience for future shocks. Budget 2022, in many ways, is a response to the opportunities of the moment, when new technologies and ways of working suggest extraordinary new possibilities for the way we live and work.
  2. In order to capitalise on these opportunities, and be better prepared for future threats and uncertainties, we need a fresh approach, one that allows our communities to proactively take ownership of matters that directly impact them. CSOs are central to this new approach. In terms of implementing effective solutions to hyperlocal issues, manyCSOs do an extraordinary job and have grown in terms of reach and impact.
  3. Big challenges in our society, including the future of social care, community integration, and public amenities in rural areas, can be better tackled through multi-party solutions that harness the respective strengths of public services, businesses and communities.
  4. In short, in the spirit of Keluarga Malaysia, all sectors, and all of us must take collective responsibility in countering challenges within our community such as youth issues, learning-from-home, domestic abuse and drug addiction.
  5. Needless to say, in this recovery period, we see CSOs as playing an important role - particularly through the implementation of Budget 2022 measures - to help empower the local communities that they serve. As such, the government is looking forward to continuing and further strengthening our partnership with CSOs to leverage on their expertise and reach.

In recognition of the CSOs crucial role, for next year:

  1. Firstly, a total of RM100 million will be provided in the form of a matching grant with GLC-owned foundations to work on key areas that we have specified within Budget 2022 such as strengthening mental health and social support services, after-school education, income generation for vulnerable groups and preserving our cultural and artistic heritage.
  2. Secondly, in our effort to nurture a thriving and sustainable fundraising ecosystem for social enterprises, Budget 2022 provides incentives in the form of tax exemptions on all social enterprise income for up to 3 years of assessment, subject to validation of Social Enterprise Accreditation from the stipulated authority. This will support social enterprises to be financially sustainable in their mission to create positive social or environmental impact.
  3. Thirdly, we are collaborating with Yayasan Keluarga Malaysia, to provide and protect the welfare, education and future of children who have been orphaned due to COVID-19. This list is, of course, not exhaustive, and other areas of potential collaboration also include social work, livelihood programmes and social accountability.

Ladies and Gentlemen,

Empowering Communities to Help the Nation Heal Faster

  1. In empowering communities to help the nation heal faster, particularly in the context of social protection or social safety nets, I am reminded of a famous quote by Mahatma Gandhi, who once said that "the true measure of any society can be found in how it treats its most vulnerable members."
  2. Therefore, addressing inequality is a priority of the Malaysian government. As we enter the world of the new normal, we need to ignite the Keluarga Malaysia spirit to ensure that all members of our family are supported so they can heal, and eventually prosper.
  3. Direct Budget 2022 measures and other government policies aside, collaboration between corporates and civil society is also a powerful tool that has yet to reach its fullest potential in helping Malaysia heal and develop socio-economically in a sustainable way. To this end, such collaboration must go beyond charitable donations. It is all about corporate citizenry, for corporates to play their roles in developing and giving back to communities. Ideally, these should involve Malaysian corporates' integrating social considerations into their business models, to ensure the sustainability of the communities and environment in which they operate.
  4. All these are also key to achieving the Malaysian government's pursuit of the UN's Sustainable Development Goals (SDGs), such as reducing inequality, eradicating poverty, promoting good health and well-being, ensuring gender equality, and ensuring decent work and economic growth. Nonetheless, all these can only be achieved if everyone plays their role.
  5. To that end, I am extremely pleased to be able to support the development of our civil society space through Budget 2022, which will have the ultimate effect of building a sense of shared identity, improving integration among the people of our communities and also among our rakyat as a whole.
  6. Before I end my speech, I wish to reiterate that this government is committed to the wellbeing of its citizens. As mentioned before, it is only in working together as a family that we are able to achieve the objective From Charity to Justice, which is this inaugural Hasanah Forum's theme.
  7. As we unroot, acknowledge and address the underlying causes of social inequality and inequity together, we are firmly ensuring that the foundations are laid for a future where all segments of society have access to wealth-building opportunities, and prosperity is shared by one and all, so that eventually none of our 'family members' will be left behind. This, ladies and gentlemen, represents the true definition of transitioning from Charity, to Justice for all. With that it gives me great pleasure to launch The Hasanah Forum 2021.
  8. Thank you again for having me. I wish you all a productive forum.

Wabillahitaufiq Wal-hidayah Wassalamualaikum Warahmatullahi Wabarakatuh.