The cost of illicit financial outflows

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Many of us now know that Malaysia has lost RM889 billion in terms of illicit financial outflows from 2000 to 2008. But how much was the per capita average annual illicit outflow when compared to per capita GDP?

Independent observer Philip Khoo does the maths in a commentary for Aliran:

Most shocking of all, the illicit outflow from Malaysia cost the rakyat 17 per cent of per capita GDP, but less than 1 per cent in Egypt and Tunisia. In other words, that outflow could have potentially added up to 17 per cent of GDP, or made available up to US$1,200 for the betterment of every man, woman and child in the country, including non-citizens.

At an average household size of 4.1 persons, it would have amounted to almost US$5,000 per year per household, or around RM15,000!

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Ong Eu Soon

Both BN and PR are suck. If you have the opportunity, run for your life. The pasture here is no more greener.

Amirul

Run to where?

Which country will take you if you have no millions of illicit Ringgit?

wira

If you don’t have the money, don’t yet despair if you have the necessary skills.

Millions of Malaysians already ran.
They didn’t have millions with them. 🙂

Kok Ah Kow

I am sure the size of illicit fund transfer will decrease in future and Malaysia 5th position in the world will not be maintained for long,but this may not mean good news for the country. It may just mean that there is not much left in the country to be transferred elsewhere.
To reduce this sort of fund transfer is to stop corruption. Do you think BN Government can do much about this ? Vote BN out in GE13.

Pegasus

We can sent back the 7 Somalian pirates captured…we have enough here..to bankrupt the nation..!Maybe we are bankrupt now..!!!

frags

The report was distressing but too general to make anything off it(or from what I’ve read). I wonder how come the mainstream media isn’t making noise over this news… sigh. Government is currently way too preoccupied controlling the information and what Malaysians think rather than making positive changes.

Pretty Obvious

Well, we don’t expect these looters to stash their ill-gotten gains in Malaysia banks, do we?

Remember how Dr.M and his cronies went after Anwar and his cronies business emipres when the latter bit the dusts in 1997?

Happy Chinese New Year everyone.

moo_t

Philip Khoo simple calculation just show tip of the iceberg.

The world doesn’t accept Ringgit, everybody want US Dollar, pound sterling, Euro, etc. When 889 billion Ringgit illicit money flowing out of country, due to market demand and supply, it will cause a fall of ringgit. It will exhaust Malaysia foreign reserved when Bank Negara go “strengthen” Ringgit foothold.

ctzen

What it means is possibly that the Pharoahs died, got reincarnated and reappeared in Malaysia. If there was any spinoff, that it could have come back and got reinvested, we won’t be so miserable and dystopian. The ugly thing is whoever shared the siphoning off may not all be Malaysians. That’s very ugly considering we don’t know what really happened to proceeds from mineral oil. At least half a dozen Malaysians know about this and their lips are sewn up.

Remember we paid for 35 Tomahawks which were supposedly rotting away in the California desert.

wandererAUS

Imagine, if given a small amount from this illicit financial outflows, I could make my dream come true!…having a laid back life, in a fantasy island and all the voluptuous chicks around me…boy, how great is that? Don’t worry about figures…they are only good for eyes popping!