Monday, February 9, 2009

Uncertain Economic Condition

Sharing a thought...

It has been awhile since I've last penned my thoughts here. Am having writer's mental block. He, he...

It has been more than a year since the world's equity market plunged following many negative news, with the greatest impact being the financial turmoil in the States. Despite the assurances from many economists that Asian countries may be spared from the States' problem, as we could see, ever since the cat has been let out, many countries' economy has been going downhill as the grativity pull seems to be holding strong drawing many companies and economies into the black hole of recession.

How long would the current economic situation persists? A normal question that seems to be playing in everyone's mind or lips. Fears were felt worldwide as more and more companies' 2008 financials were released. It seems like someone has left the Red Sea of company's financial performance gate unlatched. The latest being Nissan company.

However, I am optimistic a solution/s to address this economic situation would be found soon as leaders all over the world are trying their best to resolve their own countries' economic crisis. No country leader would want to see deteriorating economic performance in their backyard as it would inadvertently affects its citizens' livelihood in terms of employment, crime rate, etc, etc. We as part of a country's citizen should stay optimistic, strive to work harder to increase productivity, volunteer to take on more tasks in the company as headcounts are being reduced to ensure that the company is able to survive this crisis, be more tolerant with each other as stress increased due to the increased work pressure, etc.

In this crisis too, there are ample opportunities. One being the reduction in the interest rates which is good news to those who have commitments eg housing or car loans as their monthly repayment has been reduced. This also provides opportunity for those who wish to purchase new property, expand their business etc as cost of lending has been reduced, etc.

The government's effort to ease the corporate's overhead eg reducing the electricity tariff is applauded. This move has enabled manufacturing companies that were badly hit to better manage their cashflow. Furthermore, it was said that the Malaysian Government may provide another stimulus plan which is to be announced on 10 March aka mini budget. Let us hope that the various plans announced by the Government would take effect immediately to resuscitate the economy and its people.

There is always light at the end of the dark tunnel and I sincerely hope the light could be found fast.

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