Do We Matter At All?

The cost of living is fast rising and many of us are still trying to come to terms with this fact, especially retirees and the elderly who do not have a source of income and are dependent on their fast depleting savings. Last night, my heart sank when I read a report HERE which announced that the government has agreed to allocate RM6bil to build six second generation patrol vessels for the Royal Malaysian Navy according to Defence Minister Datuk Seri Dr Ahmad Zahid Hamidi on Saturday. Whilst we are tightening our belts and trying to make ends meet, some seem to be on a spending spree.

The rationale given for the expenditure was to “boost the economy while benefiting 632 vendor companies”. The Defence Minister clarified that they would ensure that “at least RM2bil of the allocation will benefit these vendor companies which are strategic partners of Boustead Naval Shipyard Sdn Bhd”.

So RM6 billion is going to be spent for that reason. Hmm….

The official Boustead website HERE says that Boustead Holdings Berhad, founded in 1828 is one of Malaysia’s established and diversified conglomerates with an active interest in six primary sectors of the Malaysian economy including plantation, heavy industries, property, finance & investment, trading and manufacturing and services. It states that it has more than 100 subsidiaries and associate companies of which four companies are listed on Bursa Malaysia. The group employs more than 13 000 employees. Its major shareholder, Lembaga Tabung Angkatan Tentera (LTAT).

This link gives a breakdown of its involvement in heavy industries while THIS LINK is the official site for Boustead Heavy Industries Group.

Feeling curious, I surfed the net to unravel more information which might shed light on this unexpected development.