Brace Yourselves!

Price increases of essential items are on the way, as expected. Today it is bread; well who knows what is next. But with the increase in the price of wheat flour, one would expect increases across the board for all wheat-based products. This includes noodles and beehoon, so I expect hawkers to start increasing their prices or serving smaller portions.

Let us also not forget the skyrocketing oil prices, which surpassed USD 90 per barrel middle of this week before retreating slightly. Truly if this price is sustained, we would have to see another round of petrol price increases - and with it, everything else. Wait till Petronas removes its gas subsidies - we will then see electricity and gas price increases too.

With all this coming in the wake of the impending general election, speculation is rife that the election may be brought forward rather than later to ensure that the BN is spared the backlash of Malaysians when such increases are finally announced. Alternatively, the government can continue subsidies to the detriment of the economy to appease the masses, but for how long? The economy is not as rosy as they would paint it - just look around and you can feel the trepidation of ordinary Malaysians. Take-home pay is the same for most people, and coupled with increases in cost of living, mortagages, credit card debts etc., there is really little left for savings.

Whichever the final choice, we must brace ourselves for the inevitable: tighten our belts, save more and spend wisely in the future, because the good days are coming to an end.