Financial Support or Financial Crime?

In the name of Allah, the Beneficent, the Merciful.

May the peace, mercy and blessing of Allah be upon you, my readers.

Have you guys ever wondered how the bank generate their money over and over again? It is a non-stop process of sucking out our money. They are the 'blood sucker'.

Fist of all, this is not going to be a long entry. A short and simple one. Easier for you guys to understand.

How did the bank make money? Simple. By using our own money.

Let us take a simple example. A is a person who are the one deposited his money to a safe place. Well of course, in a bank. While B is a person who a re going to borrow the money from the bank.

Did B actually borrow the money from the bank? Bank's money? No. It is A's money.

A deposited RM1, 000. The bank will reserve 10 % from the money deposited. In such cases, the bank made a policy that the depositor are not allowed to withdraw more that 10 %. Then the bank will use A's money to lend to B for RM900 together with interest. So by the time when B needs to pay for the loan, he need to pay more than RM900 right?

So this process will cycle over and over again. Loan means their income. That's how they do it. By actually using our own money.

Let us take one real analogy. The most pertinent with our country system. Whenever any person wants to make a loan, they need to fill up the application form and usually they are advised to open an account with the minimum of RM20. As this person wants to have a card so that it will facilitate the flow of their loan money, he need to pay the extra cost of RM8. At this moment, the bank already made a money of RM18. RM8 for the card and at least, in your account there must be RM10, reserved by the bank.

If the bank generated of RM18 per person. Imagine that there are 100 persons per day that make a loan. Rm1, 800 per day. Now, imagine that the bank (let us called it as Bank Eddy) have 100 branches all over the country. That makes up of RM 18, 000.

Who Decide it?

Assalamualaikum and hey guys. Ok, this is quite long since my last update right. Plus, I have no intention to post about the issue that I am about to discuss in this entry actually. Old story.

But, since there are a few of them who kept talking about this.."Melaka Maju", so it would be better for them to know..who or which authority declared Malacca as a delevop state.

So I quoted some important parts from the news...

"OECD iktiraf Melaka negeri maju" ~ Utusan
"OECD declared Malacca as a develop state" ~Utusan

Ok, so they claimed that OECD was the one who declared Malacca as a develop state.
*OECD, Organisation for Economic Co-operation and Development

SO, what say OECD?

"Malacca develop status self-declared, says OECD official" ~ The Malaysian Insider

In fact, OECD has no authority at all to declare which state as a develop state. Why? Because they don't even have any single guideline to do such thing. However, I advise you, don't jump into conclusion yet. Because it is actually depends on the state itself to have such perception or declaration.

Yes, Malacca still have a lot of things that need to improve. I admit that but for me, Malacca deserved to be declared as a develop state.

Reason?

OECD is an organisation which grouping the world's 33 richest countries with the higest GDP. What is GDP? GDP gives the definiton of gross domestic product which refers to market value of all final goods and services prduced by a country. Malacca GDP had already reached US$14, 261 as compared as the lowest GDP amongs the 33 richest coutries with the highest GDP was Turkey at US$13, 000.

p.s 1: in 2009 only, Selangor, Johor, Sarawak and Penang together with KUALA LUMPUR contributed 62.7 % to national GDP

Conclusion: Develop state does not represents a higher GDP in which those states mentioned actually have a higher GDP as compared to Malacca's GDP. Example, China's GDP is 10 times higher than Singapore's GDP and 2020 China expected to be the largest economy in the world.

Get it? No authority may have any jurisdiction to declare any state as a develop state

Example 2: compare both of it..

Malacca will build Disneyland-style theme park only with 21 hectares, estimated cost of RM300 million only.

While undeveloped state like Johor itself is having a participation for two mega project as such as Legoland with 51 hectares, estimated cost of RM750 million and Pinewoods Studios, the largest stage provider in Europe. In facts this studios are expected to generate an economic profit of 1 billion. Plus, Pinewoods Studios is best known for its movies like HARRY POTTER, James Bond, Lara Croft, Batman, Superman and etc.