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Wednesday, 18 September 2019

Why China can take a lead in 5G and AI technology application

https://youtu.be/InPzlUE5Qckc

China is among the world’s first countries to apply 5G to business services. China’s telecommunications guides the global 5G-technology trend. An open China is becoming the “playground” for global AI businesses and a key landmark for a joint exploration of AI’s direction of end development. Check out this video and have a look at why China can take a lead in 5G and AI technology application.

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Sunday, 15 September 2019

Recession fears can by itself be a self-fulfilling prophecy



AS talk of a recession picks up, a veteran fund manager, Ang Kok Heng of Phillip Capital Management Sdn Bhd, correctly points out that the Malaysian stock market has been in “recession” in five of the six years since 2014.

Hence, he does not envisage how it can get worse for the Malaysian stock market if the global economy does go into a recession next year. Fears of a global recession have picked up pace based on the behaviour of the US yield curve.

The yield curve, which charts the spreads of US debt papers of various tenures, has inverted several times in the past few weeks. Most people would not understand what an inverted yield curve means.

Simply put, it means long-dated debt papers of 10 years giving lower returns compared to shorter-term debt papers such as two-year US Treasuries. It causes what is called an inverted yield curve.

It goes against the normal behaviour of US Treasury yields because long-term debt papers should give a higher return than short-term papers.

The consequence of an inverted yield curve is that it will lead to banks reducing their lending activities because their margins are narrow. Eventually, it results in companies reducing their activities and the country going into a slowdown or recession.

An inverted yield curve has been the precursor to all past recessions (see diagram).

However, there are some who are disputing the fears of an impending global recession based on the behaviour of the bond yield curve. Their reason is that the bond yields are not behaving as what they should due to the governments all around the world printing money to keep interest rates artificially low since 2009.

Interest rates have become so low to the extent that European banks are offering no returns on deposits. This means depositors do not get any money for keeping their money in the banks. Borrowers instead get discounts on their installments.

It’s happening in Europe because government bond yields there have turned negative.

For instance, the yield on 10-year Switzerland bonds is negative 0.74%, while German bonds of a similar tenure yield negative 0.52%. From France to Denmark, government debt papers have negative yields.

Only some countries such as Portugal and Spain still have positive yields on their debt papers.

Analysts believe that this has resulted in investors resorting to buying US debt papers that still offer positive yields. Hence, the price of bonds across all tenures in the US has gone up, causing their yields to come down.

The search for yields has also resulted in the narrowing of the difference between what the two-year and 10-year debt papers offer. And there have been several occasions in the last one month when the yield on the 10-year paper was lower than the two-year debt papers.

Apart from the behaviour of the yield curve, the other indicator that is seen as a precursor to a recession is the declining manufacturing sector all around the world caused by the trade war between the US and China. The Purchasing Managers’ Index (PMI), which is a leading indicator to assess the state of the economy, has been declining for all major economies.

For Malaysia, the PMI has been less than the 50-point benchmark for almost a year now. The same trend is seen in China, while the indicator has started to decline in the US in the last few months, which some see as a result of the trade war.

The trade war has caused supply disruptions, impacting the manufacturing sector.

However, there are other indicators that do not indicate a recession is imminent.

Banks are fairly well-capitalised and have pulled the brakes on lending. We do not hear of banks being impacted by major corporate defaults except for some financial institutions in China. Malaysian banks, for instance, have weathered the storm quite well so far, thanks to Bank Negara keeping a tight rein on their lending activities.

There has not been any run-up in asset prices. Property prices in countries such as Malaysia have remained subdued since 2015 after Bank Negara pulled the brakes on lending. Since 2014, Bursa Malaysia has closed lower every year, except for 2017.

The only exception of rising asset prices is Wall Street that has soared to record highs. Stock prices are hitting all-time highs due to improved earnings growth.

Technology companies such as Apple and Amazon are US$1 trillion companies. The other technology companies such as Facebook and Alphabet are enjoying growing valuations because of earnings growth.

No other stock exchange in the world has such a large concentration of technology companies than the exchanges on Wall Street. All technology companies, even from China, want to list on Wall Street.

Even Alibaba is listed on the New York Stock Exchange and not in Hong Kong.

It has been 11 years since the last recession, but the world’s central banks have resumed their printing of cheap money to keep interest rates low. The European Central Bank has resumed quantitative easing, while the US Federal Reserve is reducing interest rates. In essence, central banks are taking these measures to prevent a slowing economy going into recession.

In the meantime, it has caused fear among people and companies. Companies are holding back on spending, and in fact, cutting down on their debt.

A clear indicator is in the US where companies raised the most amount of corporate debt. Apple and Disney raised US$7bil worth of debt papers to reduce their borrowings.

In Malaysia, corporations have been deleveraging for the past few years in anticipation of a slowdown. Companies are not expanding, as indicated by the declining private-sector gross capital formation.

It is only reasonable for companies and people to save for the upcoming rainy days. Even governments are cautious in spending. For instance, in the upcoming Budget 2020, many are expecting the government to start spending. But there is also a view that the government will adopt a cautious stance as it continues to strengthen its balance sheet and reduce debts.

If nobody spends for fear of a recession, it would be a self-fulfilling prophecy.

Most people are expecting a recession, meaning negative growth. Fear of a recession has translated into a slowdown that the world and Malaysia are experiencing. If this fear continues to perpetuate, a recession would be a self-fulling prophecy.

It is good to be fearful, but being too fearful and conservative will also result in lost opportunity.

As Ang of Phillip Capital puts it, in times when fears of a recession seap in, cash must be held to seize opportunities. Holding cash as an investment is not a wise option.



 By M. SHANMUGAM , The views expressed here are solely that of the writer. Source link


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Wednesday, 11 September 2019

Malaysia’s Public Universities Falling Behind


Malaysian public universities’ worst nightmare is beginning, with local private universities rapidly rising and making their presence felt in university rankings.

The respected World University Rankings now places Universiti Tunku Abdul Rahman (UTAR) as the country’s second-best university just behind its oldest public university, University Malaya (UM). QS International University Rankings this year placed the private UCSI University sixth and Taylors University eighth. Other rankings mention Swinburne University of Technology, International Medical University, HELP University, and Sunway University among others as being in Malaysia’s top 10.

Malaysian public universities and the Ministry of Education have been fixated on rankings for many years. Ang small rise in any ranking is extolled by the media. Malaysia even has its own domestic ranking system SETARA, but this is not without criticisms. In 2017, the Malaysian Qualifications Agency (MQA) gave eight universities the highest ranking of six stars and 21 the second highest ranking of five, indicating there is not much room for these universities to improve.

This nonsensical ranking system ignores the wide gulf between Malaysian universities and universities in the rest of the world.

What is hindering Malaysian public universities from achieving their full potential? It seems to be their sense of purpose.

University mission statements are public pronouncements of the institution’s purpose, ambition, and values.The general mission statements of the country’s public universities state the prime purpose as producing graduates who will be skilled and highly sought after employees of industry. This is a mechanistic, utilitarian approach, a discourse that is purely industrial and regimented.

What is absent is the desire to assemble a diverse intellectual community and pursue knowledge and education for the betterment of the individual and society — something more holistic than the narrow education path extolled in these outmoded mission statements.

Many graduate qualifications don’t match the country’s needs. There is a large surplus of graduates with technical degrees that can’t be absorbed into the workforce. Graduate unemployment was 9.6 percent or 204,000 at the end of 2108.

These mismatches and surpluses are the result of the insistence of central control by the Ministry of Education. There is lack of autonomy in public universities about what courses can be taught. The Ministry of Education operates like a ministry would in the Soviet Union during the 1950s.

The Malay Agenda

Malaysia’s public universities are an instrument of the government of the day.

One vice chancellor told Asia Sentinel that an important covert role of public universities is to pursue the “Malay Agenda.” This is reflected in the ethnic mix of academic, administration, security, and maintenance staff, and the high percentage of Malays in university student populations. Public universities prefer to employ foreign Muslim academic staff from India, Bangladesh, Myanmar and Iraq, rather than Malaysian citizens who are of Chinese or Indian origin. Most, if not nearly all office holders at public universities are Malay. Administration staff numbers tend to be bloated and inefficient due to lenient work procedures compared to their private counterparts.

Public universities are Malay bastions. They have become enclaves not demographically representative of the communities they serve. Organization is extremely hierarchical and authoritarian. Expertise is recognised through position and not knowledge. This creates a master-servant, rather than collegiate culture within faculties and administrative departments. In such environments, nepotism over powers meritocracy. Thus, there is little positive within these environments for people with fresh ideas and constructive criticisms. People who question and try to improve things usually don’t last long.

What is holding public universities back is the Malay Agenda, which is not conducive with diversity, critical thinking or intellectualism.

The Islamic Agenda

The appointment of Maszlee Malik as the Minister of Education has exacerbated the furtherance of an Islamic agenda in public universities. This is not in the Malaysia Education Blueprint 2015-2025 (Higher Education) or an edict approved by Federal Cabinet. It’s not part of the Pakatan Harapan election manifesto. Malaysian universities are being reformed in Maszlee’s vision rather than the national policy. The minister’s infusion into public universities of his Islamic vision is not the moderate, tolerant and accommodating Islam that Malays have practiced for hundreds of years but a Salafi-Wahabism slant that demands conformity and strict adherence.

This form of environment within public universities runs against the principle of diversity, free expression, critical thinking and creativity. The resulting organizational culture is an authoritarian environment that frowns upon freedom of expression of different ideas and diversity.

Malaysia is now witnessing the opening of a fissure into two completely different philosophies of higher education. On one side are the public universities with a structure and culture purporting to produce industrial fodder, and on the other side a private higher education sector made up of domestic private universities and Malaysian campuses of foreign universities which are beginning to emerge and being recognized in international rankings. One side carries the “Malay-Islamic” agenda of exclusion and the other, the pursuit of meritocracy.

Pursuing Change

The flaws within the public university system need to be firstly publicly acknowledged, then corrected. To date, the government has never conceded that it is pursuing the “Malay Agenda” in public universities. This is the subliminal agenda that is preventing any meaningful change and turning universities inward into their own introspection. Public universities can’t be changed without changing the intentions of the top echelon of government.

The first question is whether public universities should be pursuing Malay-Islamic agenda, or pursuing excellence in education and learning? This is where the reform process must begin.

The second question is whether public universities should follow the mechanistic development agenda or regenerate into something else? This question requires much informed discussion with various stakeholders.

This demands honest discussion. If the government wants to maintain the Malay-Islamic agenda in public universities, just say so and don’t waste time preparing policy blueprints which state otherwise. No change here and the rest is a waste of time.

If the first two questions are resolved, then a third question needs consideration. How can Malaysia’s public universities be fixed?

This has to start at the top. Before any reforms can be made, the culture within universities requires change. There are a number of prerequisites to achieving a positive culture change.

1.Public universities must be truly independent, autonomous, and transparent. A supreme body governing the university, a university council made up of the vice chancellor, deputies, deans, representatives from academic staff, administration staff, students, industry, community, and education should replace university board of directors. This means getting rid of all the deadweight and political crony appointees and replacing them with a committed governance group representing all stakeholders.

2.The university councils should appoint vice chancellors without any interference from the minister. This process should take place without fear or favour, purely on merit. The office holders shouldn’t be restricted to Malaysian citizens. The world should be scoured for the best people with experience in excellent universities to steer Malaysian universities into a new era.

3.Academic and administration staff need to reflect the population demographics of the country. Faculties need diversity, knowledge, experience, and know how. The apartheid approach needs to be ended at universities. The private universities are a  good example of what happens when diversity exists within academic staff. Rankings are quickly reflecting this.

4.The organizational culture of universities and faculties within them needs to be changed to eliminate feudal-like hierarchies, cronyism, and nepotism. These traits have to be replaced with a culture supporting meritocracy. This requires a leadership who shows by example. Deans with experience in reform and building teams will be required to reset these institutions.

5.There needs to be a set of standards that are fair for all to meet for university entry. This doesn’t mean there can’t be special entry programs for the disadvantaged. Many students now attending public universities would have been better off in the vocational system. Stricter entry standards will mean less students attending public universities and more in the vocational system that would better suit many students’ needs. This will help ease pressure on undergraduate teaching and raise standards very quickly.

Maszlee Malik doesn’t appear to have the interest or passion to lead the drive for excellence in public universities. He has been counterproductive through his appointments of vice chancellors. Religious credentials shouldn’t be a factor in selection.

If change can be made at the top, then the new broom can focus on granting full autonomy to public universities and change the Universities & Colleges Act so that university councils can be set up. The minister must denounce covert agendas and start a national dialogue about what Malaysian public universities should become. Finally, the apartheid nature of these insular institutions needs to be dismantled.

Ministers, bureaucrats, vice chancellors and deans don’t have to fly off to see Harvard or Oxford on the pretext to learn and emulate what is being done there.

Fortunately, within the public system there are some success stories. There are the examples within public universities that can learnt from where the elements of success can be transposed to other faculties within the public system. If this is not enough, vice chancellors only need to drive across town and look at some of the vibrant private universities as examples.

By:Murray Hunter,is a development expert based in Southeast Asia and a frequent contributor to Asia Sentinel.


-Source link

Best universities in Malaysia

World University Rankings

Explore the best universities in Malaysia, based on data collected by Times Higher Education
March 13 2019
Best universities in Malaysia
Malaysia is a country in South East Asia known for its stunning natural beauty and diverse population.

Made up of two main land masses, the Malaysian Peninsula and Malaysian Borneo, the country is known equally for its cosmopolitan capital and its wildlife-rich rainforests. The jungles of Borneo are home to over 1,000 species of animals, many of which are endangered. These include orangutans, clouded leopards and pygmy elephants.

By contrast, Kuala Lumpur – the nation’s capital – is a bustling metropolis, often used as a stepping stone to many other major South Asian destinations. Featuring the iconic Petronas Towers, the city’s impressive skyline is just one of KL’s many attractions. ​

Others include a canopy walkway 100ft in the air in the heart of the city, as well as the Batu Cave Temple, the stunning National Mosque and a host of museums.

Street food is incredibly popular and you can expect a varied cuisine with Indian, Chinese and Malay influences.

Among all of this are some outstanding universities, which we have listed below, based on data collected for the THE World University Rankings 2019.

University of Malaya​

The University of Malaya, a public research university in Kuala Lumpur, is Malaysia’s oldest university, founded in 1905.

Initially established to cover the shortage of doctors in the country, the university has maintained its position as a leading medical school.

It also offers bachelors degrees right through to doctoral qualifications across a range of other disciplines including economics, law, engineering, accountancy, linguistics and education.

The university also partners with several institutions across the globe, with links to Australia, France, Japan and the UK.

Universiti Tunku Abdul Rahman (UTAR)​ 

Situated across two campuses in Kuala Lumpur, Universiti Tunku Abdul Rahman (UTAR) is Malaysia’s second best university.

Established as a not-for-profit university in 2002, the initial intake was just 411. This has now risen to 2,500 students, who can choose from over 110 academic programmes of study. When the university first started there were just eight degree programmes.

UTAR is made up of nine faculties, three academic institutes, three academic centres and 32 research centres. ​

There are 56 registered student societies at the university including the yoga society, the international friendship society, the robotics society, the board games club, the taekwondo club and the first aid society among others.

Best universities in ShanghaiBest universities in TokyoBest universities in Singapore Best universities in Hong KongBest universities in TaiwanBest universities in South KoreaBest universities in China

Universiti Kebangsaan Malaysia​

Universiti Kebangsaan Malaysia, or The National University of Malaysia as it is sometimes known, was initially founded to uphold the Malay language.

​Today, the university’s focus has switched to energy, with an emphasis on biotechnology and earth science.

UKM’s Tun Seri Lanang Library is one of the biggest university libraries in Malaysia, housing a collecting of over two million resources.

The university has three campuses: in Bangi, Cheras and Kuala Lumpur.

And the rest...

You can also choose from a range of other universities in Malaysia.

Other institutions with a focus on energy include Universiti Sains Malaysia and Universiti Tenaga Nasional (UNITEN).

Away from Kuala Lumpur, Universiti Malaysia Sarawak (UNIMAS) is located on the northwest coast of stunning Borneo.

The Universiti Teknologi MARA (UITM) is the best of both worlds, with campuses in each part of Malaysia. ​

The top universities in Malaysia 2019

Click on each institution to see its full World University Rankings 2019 results
Malaysia Rank 2019 World University Rank 2019 University City/Area
1  301–350  University of Malaya Kuala Lumpur
2  501–600  Universiti Tunku Abdul Rahman (UTAR) Petaling Jaya
=3  601–800  Universiti Kebangsaan Malaysia Selangor
=3  601–800  Universiti Sains Malaysia Pulau Pinang 
=3  601–800  Universiti Teknologi Malaysia Johor 
=3  601–800  Universiti Teknologi Petronas Seri Iskandar 
=7  801–1000  Universiti Putra Malaysia Selangor 
=7  801–1000  Universiti Tenaga Nasional (UNITEN) Selangor 
=7  801–1000  Universiti Utara Malaysia Kedah Darul Aman 
=10  1001+  Universiti Teknologi MARA Selangor 
=10  1001+  Universiti Malaysia Sarawak (UNIMAS) Sarawak
Read more: Best universities in Asia

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