Tuesday, October 22, 2013

Budget 2014 A Boost to the Market?

Uppermost in everybody's mind must be Budget 2014. Najib has to put in place a people-friendly budget if he wants to have a good chance to win back the electorates. Cutting spending is not a good choice as many businesses will be affected. Increasing taxes to mitigate our debts is also not advisable as this is considered to be not people friendly.

We all know that our nation is in great debt because of corruption & cronyism. Once these are addressed, our problems are solved. Things such as a screw driver costs RM250 when it should be RM2.50 or a contract that can be done at RM10 million, but costs the government Rm100 million be must stopped.

I am sure Najib knows where our problems are. But has he really the capability to curb corruption? Let's wait and see.

My opinion is that this budget will emphasize on developments, curtail wastages, and restore credibility in the government.  

I believe that immediately after the budget, the stock market will turn bullish. This is my opinion.  I may be wrong but I have a good chance to be right.