National Economic Action Council
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The National Economic Action Council (NEAC) (Malay: Majlis Tindakan Ekonomi Negara (MTEN)) is a main governing body which solved the economic crisis in Malaysia between 1996-1998. Its headquarters is located in Perdana Putra, Putrajaya.
[edit] History
The NEAC was established on 7 January 1998 as a consultative body to deal with the immediate issues to tackle the Asian Financial Crisis in 1997. It has been instrumental in turning the economy around through pre-emptive strategies to counter the adverse impact.
The NEAC Council comprises the Prime Ministers, Deputy Prime Minister, Chief Ministers, Cabinet Ministers, Chief Secretary and representatives from the corporate sector and associations. Council Meetings are held once every few months. As such, in order to facilitate decision-making process, the Council had established NEAC Exco comprising members from ISIS, EPU and others.
Both, the Council and Exco are chaired by the Prime Minister, with the Deputy Prime Minister as the Deputy Chair.
The NEAC, as an organization under the Prime Minister’s department, comprises three separate units, namely, NEAC Secretariat, the Communications Team and the Special Consultative Team on Globalization. The tasks performed by the three units have been instrumental in providing major strategies including;
- The establishment of Danaharta on 20 June 1998 as an asst management company to remove NPLs from the banking system, manage, finance, dispose of liabilities and finally maximize the recovery value of the acquired assets.
- Launching of National Economics Recovery Plan (NERP) on 23 July 1998. The NERP presents six strategic areas for action to address the 1997/1998 Asian Financial Crisis and its pervasive negative effects on the Malaysian economy brought about by the ringgit depreciation and the collapse of the stock market.
- Pre-emptive measures and stimulus packages to counter the impact of the global economic slowdown. Following economic assessments in early January 2001, as well as post September 11, NEAC proposed stimulus packages which included a RM4.3 billion fiscal package, with wide distribution of rural/small projects especially among Bumiputera Class F contractors, special emplacement and training programme for unemployed graduates and Funds for retraining retrenched workers.
- Water : The Singapore-Malaysia Dispute, The Facts.
- A bi-weekly Economic Update on Global and Domestic Economy distributed to key decision makers.
- A bi-monthly Newsletter ‘Economic Notes’ for key decision makers.
- A Weekly Newsletter distributed to Ministers and other relevant parties on monitoring of regional economies, particularly China, Japan, Singapore and South Korea.
In addition NEAC focused on major studies to keep tab on the recent economic development, viz;
- Study and Audit of Public and Private Sector Healthcare Facilities as a Source of Foreign Exchange Earnings.
- Study and Audit of Public and Private Educational Facilities as a Source of Foreign Exchange Earnings
- Promoting Malaysia as a Tourist Destination in the Middle East
- Study on Profile of Services Sector
- Review of the Services Sector and Estimation of Contribution of the Sector to GDP
- National Transport Policy and Strategy Study
- Study and Audit The Impact of Foreign Workers on The Malaysian Economy
- R & D on Kenaf (a crop with good potentials as fodder and construction material)
