Why was the New Economic Policy introduced in Malaysia?
Malaysia’s New Economic Policy (NEP) was announced in 1970 as part of a package of measures introduced after the political crisis of May 1969. It sought to ‘eradicate poverty’ and ‘restructure society to eliminate the identification of race with economic function’ in order to create the conditions for national unity.
What is the New Economic Policy of 1991?
The New Economic Policy of 1991 included standard structural adjustment measures including the devaluation of the rupee, increase in interest rates, reduction in public investment and expenditure, reduction in public sector food and fertilizer subsidies, increase in imports and foreign investment in capital-intensive …
Why was there a new economic policy in 1991?
The year 1991 saw a financial crisis on the government that acted as a catalyst for economic reforms. The crisis was due to several factors like the gulf war that pushed up oil prices and lower remittances from gulf, foreign reserves at all time low, hyperinflation occurring at the same time.
Why was the New Economic Policy introduced?
The NEP was introduced in order to aid the recovery of the ruined Soviet economy, and to quell the uproar amongst the urban and rural population. The NEP rolled back total state control of the economy, aiming for the Russian economy to become more independent.
Did the new economic policy work in Malaysia?
The effects of the NEP on wealth distribution are disputed. The Gini index declined from 51.3 in 1970 to 44.6 in 1997, and 1987 figures indicated the mean income of the Malays had improved relative to both the Chinese and Indian communities.
When did the new economic policy end?
Further decrees refined the policy. Other policies included monetary reform (1922–1924) and the attraction of foreign capital. The NEP created a new category of people called NEPmen (нэпманы) (nouveau riches). Joseph Stalin abandoned the NEP in 1928 with the Great Break.
What are the main objectives of New Economic Policy NEP 1970 1990?
Under the “New Economic Policy” (NEP)the objectives were to eradicate poverty and to redistribute wealth. The characteristics of the implementation processes of the NEP was that of governme-nt’s intervention through direct involvement in the economic activities and commercial sector.
What was the main event that led to the introduction of new economic policy in 1970?
Malaysia’s New Economic Policy (NEP) was first announced in 1970 as the principal policy response to the post-election race riots of May 1969, which also resulted in a significant regime change.
What did the New Economic Policy do?
The NEP replaced war communism as the Soviet regime’s official economic policy. It ended grain requisitioning, replacing it with a fixed tax to be paid in kind, and allowed private ownership of small businesses, the return of markets and the sale of surplus goods.