Although Malaysian investors rank saving for retirement a top financial priority, the research showed a lack of financial planning. This may jeopardise long-term financial security, particularly when compounded by high debt levels.

The research showed that 68 per cent of Malaysians currently have debt, the highest proportion of all eight markets surveyed in Asia – more than double the regional average of 33 per cent. Average debt is RM56,000, nearly 10 times average Monthly Personal Income.

Point to note is that a majority of the debt is long-term, with a quarter of those in debt not expecting to be able to pay it off for three years or more.

The survey reflects poor financial management, with investors failing to manage their cashflows effectively.

A majority of Malaysian investors (89 per cent) track their expenses regularly, but 44 per cent of investors spend 70 per cent or more of their monthly income every month, suggesting they are not acting on their tracking by curbing expenses.

However, the survey indicated that at least investors are aware of their high debt levels, ranking paying off debt and credit cards as the second most important financial priority overall, with 16 per cent of investors ranking this as their top priority.

Manulife Holdings Bhd group chief executive Mark O’ Dell said: “The survey has revealed worryingly high levels of debt.

Against the backdrop of more volatile financial markets and slowing economic growth, investors need to better manage their finances and track expenses to prevent them from incurring too much debt.

“Without effective debt management, Malaysians are less likely to achieve their long-term savings goals, which could jeopardise their future financial security.”

The survey also showed that saving for retirement is now the number one financial priority for investors, with 21 per cent of investors ranking this as their top priority. In spite of this, investors fail to efficiently save for their retirement.

Many investors do not have a target savings goal (41 per cent), including those aged 35-49 (43 per cent) who should be most active in retirement planning. Of those who do have a target savings goal, the average amount is RM378,000, more than 62 times average Monthly Personal Income.

While almost half of savers (48 per cent) have set medium term time frames (five-10 years) to achieve their goal, these high savings targets may be unrealistic to achieve, which could explain why the majority (67 per cent) have only been able to save less than 40 per cent of their target.

Related to this lack of effective savings management, 74 per cent of investors surveyed wished they had done better investment planning. More than a third (38 per cent) wished they had done more research; while 28 per cent wished they had been more active in reviewing their portfolio and 27 per cent regretted holding too much cash.

This may be explained by the fact that most investors rely on themselves for financial advice (79 per cent) while investment experts ranked fifth (24 per cent), after friends and family.

Manulife Asset Management Services Bhd chief investment officer Jason Chong said: “It’s encouraging that investors are prioritising their retirement planning, but many seem to lack a clear financial plan.

Investors should set realistic monthly savings targets and seek professional advice to ensure they are wisely investing to meet their long-term financial goals.

The road will facilitate trade, investment and tourism with other provinces and the countries of the Greater Mekong Sub-region and provide a vital link in the Laos-Cambodia border area.

Director of the Champassak provincial Public Works and Transport Department, Dr Soukkaseum Pakdymanivong, toldVientiane Times the new road is now half complete.

The work began in 2012 and is scheduled for completion in 2019, with the cost of the project estimated at about US$80 million.

Dr Soukkaseum said the road runs from Pakxe district through Phonthong and Champassak districts alongside the Mekong River, linking the borders of Laos, Thailand and Cambodia in Mounlapamok district.

He said the new road would be used for international trade, especially the transport of goods between Laos, Thailand and Cambodia.

The road will also become a main route to serve tourism in the countries of the Greater MekongSub-region, taking in the popular tourist attractions of Vat Phou Champassak, Preah VihearTemple, and Angkor Wat in Cambodia.

“Due to the enormous amount of construction works, we are first concentrating on building toll roads. [With the better leverage], the toll developments will not depend on the state budget,” she said after a limited meeting regarding the SOE holding company at the State Palace on Monday.

According to the SOE holding companies roadmap, the ministry will establish holding companies in every strategic business sector, including the mining sector, financial sector, renewable energy sector and construction sector.

Meanwhile, Cabinet Secretary Pramono Anung said President Joko “Jokowi” Widodo encouraged SOEs to not only act as the engine of the national economy, but to also provide multiplier effects and be more competitive globally.

“The President has called for the development of the holding company to be carried out carefully, and seriously, with attention to efficiency and coordination. And to also make state-owned companies more efficient and agile, and free of non-professional practices,” he explained.

Minister for Trade and Industry S. Iswaran signed an Agreement on Reciprocal Promotion and Protection of Investments, also known as a bilateral investment treaty, with Iran’s Minister of Finance and Economic Affairs Ali Tayyebnia in Teheran yesterday (February 29).

Singapore is the second country, after Japan, to sign a bilateral investment treaty with the Middle Eastern nation after international sanctions were lifted in mid-January.

“We are here now to deepen the economic collaboration between our two countries,” Iswaran told the media after the ceremony.

“We see significant opportunities to do so because of the size of the market in Iran and in the region, and the capabilities of the people.

“For Iranian businesses, there are interesting opportunities in Singapore and through Singapore into Southeast Asia and the larger market of Asia,” he added.

Iswaran arrived in Teheran on Sunday for a three-day visit to explore new business and investment opportunities. His trip coincides with a one-week mission by the Singapore Business Federation (SBF) to the Iranian capital.

Iswaran also met Iranian Minister of Industries and Business Mohammad Reza Nematzadeh and Minister of Cooperatives, Labour and Social Welfare Ali Rabiei.

With this agreement, Singapore investments will be treated as favourably in Iran as any other investments – foreign or local. And businesses can transfer capital and returns between the two countries without obstacles.

The treaty also provides Singapore investors with the option to resolve investment disputes through international arbitration.

The Ministry of Trade and Industry said Singapore’s bilateral trade with Iran was S$6.6 billion (US$4.70 billion) in 2011, before the sanctions were imposed. It fell to S$2.6 billion in 2012, after the sanctions kicked in. Last year, trade stood at S$171.4 million, with Singapore exporting S$158 million worth of goods to Iran, while imports from Iran to Singapore amounted to S$13.4 million.

Singapore firms have shown renewed interest in the oil-rich country, which is just re-opening its doors after a prolonged period of under-investment.

A total of 51 firms from various sectors, including oil and gas, petrochemicals, logistics and information communications technology, have been in Teheran since last Friday, gaining first-hand knowledge about the business environment and investment opportunities.

This is the SBF’s fifth delegation to Iran, and the largest group that it has taken to the Middle East so far.

The delegation comprises two main groups – companies that were previously doing business in Iran and are now seeking to re-establish dealings after the lifting of the sanctions, and companies that are completely new to the market.

“Singapore companies are known for our quality, reliability and the service we deliver… but competition is greater than before and others are running very fast,” said Teo Siong Seng, SBF chairman and leader of the business mission.

Singapore businesses are facing stiff competition from South Korean and European companies, which are pursuing deals in Iran, he noted.

According to the Teheran Times, South Korea on Sunday signed a memorandum of understanding with Iran to provide 5 billion euros (US$5.44 billion) in financing for infrastructure, development and manufacturing projects in the country.

Many of these businesses tend to be bold and are willing to put in huge investments. Singapore companies, however, tend to be more careful, said Teo.

(US$1 = S$1.40)

“This year, a decision has to be made and refineries must be built. Any country with a crude oil supply is welcomed. We need to have bigger stocking capacity here so that the supply chain can be shortened and we no longer need traders,” Jokowi said.

In the past years, the country had several plans to build new refineries. However, the attempts fell through, usually over financial issues.

The President also highlighted the need to build up stockpiles during the period of low oil prices so that the country would not suffer when oil prices jump.

“It doesn’t matter if the stockpiles are located onshore or overseas. State-owned enterprises, Pertamina and the ministry have to think how to build up the stocks to anticipate price rebound,” Jokowi added.

Global oil prices dropped by a third since late 2014 to about $35 per barrel recently following a global glut of supply caused by the success of US shale oil. As an importing country, Indonesia may currently enjoy the drop in prices as the country needs to spend less money to purchase the commodity, which has burdened the country’s current account.

Indonesia’s oil demand is estimated to be equal to 1.6 million barrels per day, but Indonesia’s fields can deliver less than 800,000 per day because they have been depleted.

The lack of oil is exacerbated by aging refineries, which can run on less than their original capacities. There are currently six big refineries that had a capacity of 1 million barrels per day, but they are now operating at about the 800,000 level.

The government has rolled out regulations to support refinery development, in part by opening up the business to private players and planning to give incentives to investors who wish to develop refineries in the country.

“Apart from the regulations, we can also use state assets such as land in Bontang to host new refineries. There will be no land rent and they will get tax holidays. Another point is that Pertamina is obliged to be offtaker of the refineries’ product,” Energy and Mineral Resources Minister Sudirman Said said.

Pertamina is currently in the process of selecting a partner for the development of a refinery in Tuban.

The company’s director for refineries, Rachmad Hardadi, previously revealed that Pertamina had shortlisted five candidates for the project, namely Russia’s Rosnef, Saudi Arabia’s Saudi Aramco, Kuwait’s Kuwait Petroleum International, China’s Sinopec and a consortium of PTTGC and Thai Oil.

On his timeline, he wrote in Khmer: “When I returned from the Asean-US meeting, I said I had a debt to pay … I added that it is difficult to repay a debt for grandchildren who ask for gifts” – which explained why he had posted pictures of children playing and eating.

Hun Sen has used social media to communicate with the people for quite sometime. His first post was seen in 2010. Initially, the posts were very formal and mostly focused on his work as premier. Recently, however, posts have looked informal, casual and even personal, showing him spending his life as ordinary people do, eating on the street, watering plants in a Phnom Penh park and talking with farmers in a paddy field. These messages make strongman Hun Sen appear as an accessible and friendly leader.

Prime Minister Lee Hsien Loong of Singapore is also among the frontrunners who know how to use social media to communicate with citizens effectively. His posts cover a wide range of issues and activities relating to his government’s strategies and policies.

Last week, he came across a BBC article on China’s women-only mosques. He shared the article with comments saying, “Every major religion expresses itself in diverse ways and traditions. Its followers adapt the customs and practices of the religion to their own societies and circumstances, enriching the heritage. Islam is no different. Muslims in Singapore have their own identity and culture, and have every reason to be proud of it.”

Malaysia’s Prime Minister Najib Razak mostly posts in the Malay language to communicate with his fellow citizens. He is quite active on social media with a few posts per day covering many issues and activities he is involved in as the head of the government. Najib has also used Facebook to share his feelings with other Malaysians on topics such as the wonderful free kick scored by Faiz Subri of the Malaysian Super League football club Penang recently.

In Myanmar, where Internet service is not as good but is improving, outgoing President Thein Sein has an official account managed by his office for communications. But the leader who is more keen on this is the military commander in chief, Senior General Min Aung Hlaing. The commander always usesFacebook to promote his activities, mostly regarding his military career and politics. Meetings with Aung San Suu Kyi, whose National League for Democracy party won the election in November, were reported on his page in Burmese language and sometimes in English.

Indonesia’s President Joko Widodo and Philippine President Benigno Aquino also have their own social media presence.

All of these leaders have been present on key social media platforms – Facebook, Twitter, Instagram and YouTube, and the messages conveyed on each medium are mostly similar.

Leaders generally do not customise the message format and form when communicating on different platforms. That might be because leaders believe that people who use different platforms belong to different groups, said Chanut Kerdpradub (@Ajbomb), an expert in social media at the Faculty of Business Administration and Liberal Arts at Rajamangala University of Technology Lanna.

“In democratic countries where politicians have to compete to gain popularity among the people, leaders will more actively communicate with people on social media,” Chanut said.

However, most Asean leaders do not engage well with people on social media since they love one-way communication, although social media is meant to be interactive, he said.

“While video is a highly engaging type of content on social media, most Asean leaders are not doing well using video,” Chanut said.

The popularity of social media platforms also reflects the freedom of communication in the country, Chanut said. In authoritarian countries, Twitter will not be popular while Facebook will be the main social media platform.

“People actively express their political opinion on Twitter, while they are likely to comment in general on Instagram or Facebook, which is in the in-between,” said Chanut.

Thailand’s Prime Minister Prayut Chan-o-cha, however, has no presence on any social media platform as he enjoys his weekly TV show and press interviews.

“Rather than using airtime on television, the government should utilise social media as a communication channel to push messages and to get engagement,” Chanut said.

More leaders are trending towards using social media that allow them to directly convey exact messages rather than using traditional media, which must go through gatekeepers such the editorial process, Mana Treelayapewat, dean of the University of the Thai Chamber of Commerce’s School of Communication Arts, said.

“The beauty of social media is the two-way communication platform, a capability which leaders should utilise. Leaders should not only communicate one way but they need to engage with people [who can give feedback or opinions] to be a part to develop policy,” Mana said.