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UMNO elections a time for reinvention
By Anil Netto

PENANG, Malaysia - As this country's largest political party holds its general assembly and party elections in the cavernous convention hall of the Putra World Trade Center, challenges on the social and economic front are making it clear that the dominant United Malays National Organization (UMNO) will have to sacrifice some of its nationalist rhetoric to deal with changing realities.

Gathered delegates will also be wary of the unmentionable political challenge posed by recently freed former party stalwart Anwar Ibrahim, branded a traitor by the party's youth wing on Wednesday. All such challenges are proving potentially tricky for UMNO to negotiate.

Basking in the limelight after a sweeping general-election victory in March and the feel-good factor following Anwar's release, UMNO president and Prime Minister Abdullah Badawi presented his maiden speech as head of the party assembly on Thursday morning. He dug in for a confident performance and received a standing ovation.

His speech came a day after the UMNO youth election, in which delegates had jeered and booed each time the name of his son-in-law, Khairy Jamaluddin, was mentioned. The booing indicated unhappiness at the way Khairy, 28, had won the post of UMNO deputy youth head uncontested, in line with an understanding not to have contests for the top posts in each wing - supposedly to preserve party unity.

The Mahathir factor was also evident at Wednesday's election. Former Malaysian premier Mahathir Mohamad's son Mukhriz won the highest number of votes in the youth committee, while another Mahathir loyalist, Rafidah Aziz, retained her position as uncontested head of the women's wing.

At the party's general assembly, Abdullah dwelt at length on the need for the majority Malays to come to terms with the challenges of globalization. Expounding on his concept of Islam hadari, or progressive Islam, he urged Muslims to equip themselves with greater knowledge while taking more interest in science and technology.

Muslims in Malaysia were called to integrate worldly development with preparations for the afterlife, as Abdullah promised to step up rural development to stem the rural-to-urban drift, especially among the Malays in kampongs (villages) who are lured by the bright city lights. It was rousing stuff, minus the stern lecturing and scolding of his predecessor, Mahathir.

But whether it hit the nail on the head of what ails Malaysia is debatable. Abdullah's speech didn't much probe the quality of the country's educational institutions, which have a vital role in equipping Malaysians for the challenges of the knowledge economy and globalization.

Malaysia is increasingly feeling the pinch of regional economic competition, especially from China, where wage costs are lower. Nowhere is this felt more than in Penang, Malaysia's "Silicon Island" - although recent export figures appear rosy. Malaysia's economy has expanded, benefiting from soaring demand for computer chips and other manufactured goods, which account for about 80% of its exports.

Not everyone is euphoric. "Quite frankly, I worry about the future of Penang," said one government official familiar with the electronics industry. Penang's gross domestic product (GDP) per capita used to be above the national level in 1995. By 2000, however, the state's per capita GDP had fallen below the national average. Penang contributes more than 60% of the country's electronics exports, a major revenue earner.

"There's hardly any new FDI [foreign direct investment] coming into Penang," the official said privately. This is worrying, he said, as the Penang economy, heavily dependent on electronics and tourism, is not as diversified as the national economy.

Penang - and Malaysia in general - is often seen as hub for low-end manual tasks such as assembly and testing, and not as much for high-tech design, development and high-end assembly work.

Analysts say simple assembly-line work will leave Malaysia vulnerable as electronics firms move out at the drop of a hat to countries where the labor cost is lower. Malaysia, they say, has to move upstream and start designing its own electronics products, beginning with chips, and eventually aim at creating clusters of collaborative factories, supplying one another while upgrading fabrication facilities.

But for that to happen, Malaysia needs knowledgeable workers with the right skills, creativity and analytical thinking - and that simply is not happening fast enough. "There is a gap between what the industry requires and what the universities are producing, even in technical courses," said the government official. Attempts to bridge that gap have not been hugely successful.

There is a growing realization that Malaysia's education system is struggling to propel the country up the rungs of the knowledge-economy ladder. Faced with regional competition in the low-end electronics sector, workers in Malaysia are simply not ready to move up the tech ladder.

Not surprisingly, large numbers of graduates remain unemployed. Out of nearly 67,000 unemployed graduates, Malay and other indigenous graduates make up 49,000. More worrying, more than 90% of the unemployed graduates are from public universities. Many of these registered unemployed graduates are deemed to be lacking in communication skills (including English) and are not information-technology-savvy.

"Are we in limbo or what?" Associate Professor Zainal Abidin Kidam, director of corporate planning at Universiti Putra Malaysia, asked in a report published by the pro-establishment New Straits Times. There is not even one local university that really excels in either teaching or research and development, let alone professional consultancy, he said.

The report said one obvious reason for the current mediocrity of Malaysia's universities is the lack of qualified lecturers: "Malaysia's best brains are simply not interested in teaching because of poor wages and minimal incentives."

What the report didn't say was that many local universities have also suffered a brain drain after many more qualified lecturers, frustrated by a lack of recognition and promotion opportunities due in part to affirmative-action policies, drifted out of the public setup, with some even migrating abroad.

The lack of academic freedom, declining standards, rote-learning methods and the lack of emphasis on thinking and working independently have all stunted the development of creative and critical thinking, so crucial in propelling Malaysia up the knowledge ladder. Couple that with declining standards of English, and it's not surprising that many graduates remain unmarketable - and unemployed.

Najib Razak, the new UMNO deputy president, noting that Malays are still not on par with non-Malays in all aspects, outlined an eight-point blueprint. Three of his points appeared directly aimed at dealing with the malaise afflicting the labor pool. He urged UMNO members to master knowledge and education, to embrace the culture of meritocracy, and to master foreign languages, notably English.

It's all a far cry from the heyday of the UMNO nationalist struggle, when Malays looked to UMNO to defend their economic interests and saw no need to learn any other language apart from Malay. Najib, once a fiery - some saw him as chauvinistic - nationalist youth leader, has had to reinvent himself to take into account the changing economic realities facing Malaysia.

Others note the irony of UMNO leaders calling for meritocracy when the top leaders in each major wing - the main body, the youth, the women and the young women - have all been elected uncontested, ostensibly in accordance with the will of the delegates. "Such an innovative system has engendered certain consequences," wrote political scientist Abang Benet in a commentary. "Chiefly, the UMNO system of democratic contest for [top] party positions, which was once the only system of democratic contest in the country, is now well and truly buried."

The result is obvious. "In the process, political principles are overlooked, political performance is untested, political ideas are unexamined, political commitment to democratic civil society is unaccounted for, liberal democratic practices are cast to the wind, and intense dissatisfaction at the lack of internal party democracy is either ignored or contained," wrote Benet.

In the absence of elections for the top two posts (party president Abdullah and deputy party president Najib have reclaimed their posts unopposed) the focus of attention now shifts to the vice presidents' posts. Much attention will focus on dark-horse Shahrir Samad, who is widely seen as a "Mr Clean" and is one of seven candidates vying for three posts. His success or failure will indicate to what extent UMNO delegates have taken heed of Abdullah's anti-graft rhetoric and whether they are serious about wiping out "money politics" (a euphemism for vote-buying), widely perceived as deeply rooted in the party.

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Sep 24, 2004



Anwar's freedom catches UMNO with pants down
(Sep 3, '04)

At last, the 'Great Malaysian Debate'
(Jul 30, '04)

 

         
         
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