Malaysia focuses on poverty

Malaysia focuses on poverty

KUALA LUMPUR (AFP): Finance Minister Anwar Ibrahim has
promised to take a middle line on taxes in his October budget, as
he was urged yesterday to provide incentives for small and medium
size businesses.

Anwar, who is also deputy prime minister, said Malaysia will
adopt a moderate path to promote economic growth and encourage
foreign investment but will not neglect the poor.

"Our policies have been consistent. We take the middle path.
We have opted for this," he said in an address Saturday at
celebrations marking the 50th anniversary of Unilever Malaysia
Holdings.

He said that when preparing his October budget he had to
decide whether to be "the Sheriff of Nottingham (to tax the poor)
or to be Robin Hood (to tax the rich). Malaysia will adopt a
policy somewhere in-between."

R.V. Navaratnam, corporate advisor to Malaysian construction
and development giant the Sungeiway group, told AFP the October
budget could spell out tax incentives for the creation and
development of small and medium size businesses.

The government may also work on an expenditure program to
rehabilitate small and rural towns to reduce urban migration, he
said.