DR ZAMBRY ABD KADIR: THE EFFORTS IN TRANSFORMING PERAK INTO A DEVELOPED STATE Salina binti Khalid Communication Officer, Chief Minister Office, Perak Darul Ridzuan Corresponding author: [email protected] Abstract Since Dr Zambry Abd Kadir appointment as the 11th Menteri Besar of Perak in February 2009, he has drawn a comprehensive transformation master plan. The Perak Amanjaya Master Plan is a long term development plan focusing not only on economic but also the social aspects. Through the master plan, Dr Zambry has spearheaded the state in the past six years, working closely with leaders and communities from all levels to transform the state towards achieving a fully developed status, in line with the National Vision 2020. The paper discusses the successes and challenges Dr Zamry faces, in his efforts to transform Perak into a developed state during his administrating the state in the past six (6) years and draws the way forward towards a developed state status for better quality of life of the Perakian. Key words: Amanjaya Master Plan, Social Challenges, Good Governance, Poverty Reduction 1.0 INTRODUCTION Perak is one of the 13 states of Malaysia. It is the second largest state in Malaysia Peninsular with 21,022km square or 2.1mil hectare, second to Pahang. It borders with Kedah and Yala Province of Thailand to the North, Penang to the Northwest, Kelantan and Pahang to the East and Selangor in the South. Perak was once known for its tin production. Half of the world tin production come from Perak. The state also known as the biggest contributor to Malaysia economic development for over 150 years, since the establishment of tin mining industry in the state in the early 1860’s. In terms of administration, the state is divided into 10 administrative districts under the local administrative Municipal Councils. These districts are Hulu Perak in the north, Larut Matang and Selama, Kerian, Kuala Kangsar, Kinta, Manjung, Kampar, Perak Tengah, Batang Padang and Hilir Perak. The Sultan of Perak is the Chairman of the State Constitution. Under the State Constitution, legislative power belongs to the Legislative Assembly. Appointed members of the Legislative Assembly will form the Executive Council 35 (EXCO) which is headed by the Menteri Besar. The Menteri Besar holds executive power and the policy-making body of the state government. A Menteri Besar is appointed by the Sultan of the political party which won most seats in the Legislative Assembly. Historically, Perak was the number one with the highest contributor for National Gross Domestic Product with sixty percent between 1957 and 1980. The state also recorded as the highest population in the country with 1.8 million people in 1980 (source economic planning unit) however, currently, the state population stands at 2.4mil (statistics 2012) with 53 percent (1.1million) being Malays, 31 percent Chinese (0.7 million), 13 percent Indian (0.3million) and three percent of other races (0.03million). The state demographic is similar to the national demographic. So it is of no surprise that the state has been considered by many as the micro of the nation for its similarities. However, Perak has lost its shine with the collapse of tin mining industry due to the exhaustion of tin deposit. It has affected the state’s economy greatly. Currently, Perak Gross Domestic Product contribution to the national worth RM39.6 billion, which is ranked at number seven. In terms of population size, Perak has gone down to number three with 2.4 million people. (Source: economic planning unit). In efforts to alleviate the state’s status, the Perak administration lead by the Menteri Besar, YAB Dato’ Seri Dr Zambry Abd Kadir who came into power since Feb 2009, has taken several initiatives. These initiatives is hoped to not only bring recovery to the state’s socio-economy but also transform Perak into a developed status by the year of 2020. 2.0 METHODOLOGY This study was mainly done based on observation, secondary data and information already collected from existing study and documents (softcopy and/or hardcopy) including face to face interview. These data and information form as inputs that was analyzed to identify the challenges face the state administration and further draw the recommendations to move forward. 36 3.0 RESULTS 3.1 STATE DEVELOPMENT APPROACH AND PERAK AMANJAYA MASTER PLAN As Perak aims at joining other states and national aspiration of becoming the developed state by the year 2020, an innovative Development Plan named “Amanjaya Master Plan” has been developed, to ensure inclusive and sustainable economic development. 3.2 AMANJAYA MASTER PLAN In achieving the target of a developed state status by 2020, the state administrative under the helm of Dr Zambry, has drawn a comprehensive transformation master plan, as soon as he was appointed as the 11th Menteri Besar in February 2009. Submitted and approved by the Economic Planning Unit (EPU) in 2010, the Perak Amanjaya Master Plan has been touted as the plan for the future development of the state. The master plan outlines three main objectives: quality opportunities, quality income and quality living. The rationale behind its 3Qs objective is to have a peaceful surrounding in order to succeed. It was created with the fully involvement of private sector and non-governmental organisations. The name itself, Perak Amanjaya was given to reflect the state government’s commitment to bring peace, stability, progress and development to Perak. More importantly, Perak Amanjaya is developed under the premise of national initiatives 1Malaysia, Government Transformation Programme, Economic Transformation Plan and the 10th Malaysia Plan. The idea was not to reinvent but to align and support these national initiatives. The master plan is built on the spirit of inclusiveness and sustainability towards creating a high income state by looking at the economic sectors. To achieve regional transformation, the state will introduce key projects and investments in the identified growth zones to catalyze development throughout the state. Perak Amanjaya is a long term economic development plan not only focusing on economic but also the social aspects. In line with the National Key Result Area (NKRA) the Perak master plan encompasses seven main thrusts, namely balanced distribution and development; building a skilled and knowledgeable workforce and a society with integrity, using the state and government as a catalyst for growth; enhancing social unity network; enabling youth empowerment; fostering a sustainable private sector; and adopting environment-friendly practices. It is drawn to improve the quality of living and income in the 37 state and to generate greater opportunities for her people. It includes several focuses including the establishment of state GLCs (government-linked companies) to encourage businesses and investments, develop a k-economy (knowledge-based economy) and also going further into employee development. Various initiatives have been taken to move the state along the right direction, and later propel her towards achieving the vision. Economically, in 2010, Perak contributed nearly 5.4 percent to the overall GDP of Malaysia and records a per capita income (constant price) of RM 16,808. Given the continuous economic prosperity, with an annual growth rate of 5 percent to 7 percent between 1995 and 2010, living standards have increased significantly while poverty incident has declined drastically. In terms of sectorial composition, service sectors contribute nearly 66 percent to Perak’s GDP, while manufacturing contributes 18 percent and agriculture 14 percent, respectively. Perak is also highly depended on oil palm as main agriculture production. In fact, manufacturer of oil and fats is one of the leading industries in Perak in terms of value added contribution. Perak, nevertheless, is also able to drive its GDP through domestic demands in areas like retailing, construction, education, hotel and restaurants as well as food and beverages manufacturing. Structurally, Perak’s economy relies too much on the service sectors, in relative terms, compared to other states as well to the national level. It is evidence that to drive GDP the contribution of manufacturing is important and required the state to increase its share significantly. In addition, services largely depend on the manufacturing activities and the engine of growth should implicate maximum spillover effects that the service sectors are unable to provide. Another significant move Dr Zambry had made was to set up a think-tank, the Institut Darul Ridzuan (IDR) to plan and implement various initiatives to assist the people of various aspects. Other GLCs (Government-Linked Companies) namely SADC (State Agriculture Development Corporation), MBInc (Menteri Besar Incorporated), KPerak which deals with knowledge and IT and InvestPerak which provides a one-stop centre for investors, have gone through transformational process accordingly to the Perak Amanjaya Master Plan. Transformation programme includes the restructuring of these state agencies - making the state looks attractive to investors, shorter waiting period and less red tape to make the state an investment friendly. 38 3.3 ACHIEVEMENTS Economic Development and Poverty Reduction In term of poverty reduction programme, there is a clear reduction on hard core poor in Perak, from 2, 141 household (2009) to only 574 household (2010). Several programmes have been implemented to tackle vulnerable hard core poor. The first thrust or the Key Result Area (KRA) of the master plan is to have a balances distribution and development in the state, ensuring equal distribution for all regardless of location and race. The implementation agencies that are involved in this KRA are Yayasan Bina Upaya Darul Ridzuan (YBU), the Agriculture Farmers Association Board (LPP), Agriculture Department, Orang Asli Development Department (JHEOA), Malaysia Co- operative Societies Commission (SKM) and Community Development Department (KEMAS). As poverty is a pervasive and a continuous issue that transcends race and religion, the Perak Amanjaya Master Plan has listed out the initiative to tackle it as its first KRA.