Malaysia stock market seems like will be continue to be very dull going forward. With the palm oil price continue to be depress, a lot of farmer wealth is threatened. They represent large part of domestic spending. With domestic spending also peaking after recent years of run up, we need to earn money abroad so further gear up our domestic spending. Further more, debt to GDP at all time high 55% means it is not good for us to further borrow and spend. The challenge ahead will be to export value added product out to earn more abroad money, so we can spend more.
But to be successful with that, we need to ask, what is our competitive advantage compare to Singapore and Thailand? Why most of the direct foreign investment gone to Singapore and Thailand but skip Malaysia in the middle?
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