Recovery Initiatives in Adverse Economic Climate: The Malaysian Economic Stimulus Package

If we gauged the upheavals of the current financial crisis, panic selling of stocks coinciding with the collapse of financial institutions beginning with those in the USA, and later in Europe, would register. The role of government is key; putting together ‘rescue packages’ to stabilize teetering financial systems. Leaders of the G20 group of rich and emerging economies met in Washington, DC in November 2008, and London in April 2009, in a united attempt to combat the global slump. Critics would have the public believe that despite unprecedented stimuli and investment, the biggest risk is still that government efforts would be insufficient. Malaysia has recently unveiled its very own economic stimulus package designed to stem the tide of domestic economic decline. In light of this commitment towards steadying the Malaysian economy in turbulent financial waters, the key questions remain; how would the rescue package fare? Would it realistically generate and sustain continuous growth?