This article first appeared in The Edge Malaysia Weekly on June 25, 2018 - July 1, 2018

AFTER over six decades of rule by one political entity, the number of national institutions that are past due for reform make up a daunting list.

But before embarking on an unsettling shake-up, say opinion leaders who spoke to The Edge, it is essential to prepare the people adequately for the transformation that is to come.

A large-scale communication blitz is needed to reassure the people that the changes are for the better, and will strengthen the economy at large, says Emeritus Professor Datuk Mohamed Ariff, who teaches economics and governance at the International Centre for Education in Islamic Finance (Inceif).

“Big changes shake up the masses. So, while the reforms must be in place, it must be gradual, not a Big Bang,” says Ariff.

“To allay fears about major policy changes, people should know that the government is not abolishing affirmative action, which we know the country needs.”

For Universiti Sains Islam Malaysia’s Professor Tan Sri Dzulkifli Abdul Razak, the job of educating the people about the intricacies of institutional reforms must also be embraced by the intelligentsia.

“Certainly the Council of Eminent Persons is doing a good job but what are we doing at our level? Have we started the discussion?” asks Dzulkifli, referring to the high-level advisory committee the prime minister established in his first week in office.

Already, as key changes are being introduced, the nation is coming up against old ways of thinking. Two examples are the concern over the naming of an ethnic Chinese finance minister and a non-Muslim attorney-general. These references to race and religion reflect the sensitivities that have to be managed as the country overhauls entrenched systems.

Like Ariff, opinion pollster Ibrahim Suffian stresses that major policy shifts need to be managed carefully.

“People need to accept that the reforms will be gradual. Improvement in democratic practices and allowing for more civil liberties is a welcome change, but changes in long-term political culture, including addressing bumiputera privileges, will take time. The public needs to manage their expectations,” says Ibrahim, who runs the Merdeka Centre for Opinion Research.

Interestingly, history provides important insights for us on the issue of meritocracy, says Penang Institute senior fellow Dr Wong Chin Huat.

“Malays were a highly competitive people with a highly competitive seafaring trading civilisation before colonisation,” he says. “This competitive spirit of the past from Sri Vijaya to Malacca must be evoked.”

Asian Financial Crisis, a missed chance for reform

Ariff makes it a point to stress that the opportunity for reform is extremely precious.

“We have been waiting for 60 years. This is a good opportunity and we must not let it slip by,” he says.

Malaysia had the chance to reform during the Asian Financial Crisis in 1997 when the International Monetary Fund (IMF) offered to help affected emerging economies. However, the government wanted nothing to do with the lender then.

Indonesia, which accepted IMF’s help, carried out reforms that led to fiscal discipline, Ariff notes.

Its state oil company, PT Pertamina, and central bank are independent now, answering to parliament after the governance structure was cleaned up.

“We need to have a similar thing here. Petronas should not be answerable to the prime minister (as) it is completely shrouded in secrecy. Both Petronas and Bank Negara Malaysia should answer to parliament,” Ariff stresses.

Affirmative action has to be recalibrated to ensure that it serves the target group, he says.

“The government should focus on the lower income bracket, which makes up 40% of the population (B40) and ensure that the top 60% does not benefit from affirmative policies.

“However, in the name of the New Economic Policy (NEP) introduced in 1971, the top 5% has been taking away the bulk of its benefits with just a little trickling down to the poor households,” he notes.

“You could say the NEP targets poverty regardless of race but out of 40% of the people who are poor, 80% of them are Malays. So, the major policy beneficiaries are going to be Malays because they are the biggest part of the story.”

A lesson in humanity from May 13, 1969

Dzulkifli, who heads USIM’s board of directors, believes that the public needs to become more knowledgeable about the thrust of the Federal Constitution.

“I think most of us are not aware of what our Federal Constitution is all about. Our literacy on the constitution is very poor, and we are not able to make good references on what the constitution says,” he notes.

He shares a moving personal incident that illustrates the values that endure through difficult times.

When the May 13 race riots occurred, his neighbour, whose sons were his playmates, sought refuge at his home.

“My father told him to bring the family and stay the night in our house as we had heard of a raid later that night. Fearful for our family’s safety, I asked my father why he did that. But his answer was firm — he said Raman is family,” Dzulkifli recalls.

To this day, he says, that demonstration of humanity in the face of personal danger moves him to tears.

“That is the kind of lesson we need,” he says.

To make meaningful progress towards a “New Malaysia”, Dzulkifli sees a great need for educational institutions to engage young people in discussing the challenges of living in a plural society and internalising an inclusive value system.

“My concern is whether schools or universities are beginning to discuss this. We often talk about polarisation in schools and universities. It is a real thing, not something you fake.

“You see this every day but how many of the schools are beginning to talk about this kind of reforms? If the structure changes and you don’t change, then it doesn’t mean much,” he says.

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