Public Gold to win back consumer confidence

PETALING JAYA (Nov 2, 2012): Gold trader Public Gold Marketing Sdn Bhd, which saw its sales last month dive by as much as 60% when it was put on Bank Negara Malaysia's (BNM) consumer alert list, is hopeful of maintaining last year's sales figure in 2012, said its founder and executive chairman Datuk Louis Ng Chun Hau.

The Penang-based company has been growing at a compound annual growth rate of 200% in the last four years, before it was placed on the central bank's alert list on Sept 27 2012.

Just over a month later on Oct 29, it was officially removed from the list.

Relieved the matter is settled for now, Ng, who is the largest shareholder in Public Gold, said his immediate task is to win back consumer confidence and continue with our branch expansion plans.

"Confidence among our dealers and customers was affected when BNM put us on its alert list on Sept 27. We saw our sales drop 50-60% during the period," he told SunBiz in a telephone interview.

Public Gold has about 30,000 registered customers. Of this, 30% or 10,000 are also its dealers.

Ng recalled how the company had assisted BNM in its assessment of Public Gold's business to ensure that it had a genuine business model and that "we solely trade physical gold and silver bars like that of any jewellers".

"The only difference is that we trade 24 hours and are Internet-based.

"During the period, we continued our operations as per normal because we were just placed on the consumer alert list (as opposed to the Financial Fraud Alert (FFA) list)," said Ng, adding that the FFA list is "very serious" as it indicates that the companies on the list are conducting illegal financial schemes.

"After this incident, we have proven ourselves to be sincere in serving our customers' interest through a practical business model that has now been verified by BNM.

"We are hopeful that sales will pick up for the rest of the year," added Ng.

In a statement dated Oct 30 2012, Public Gold said it will continue to maintain a proactive relationship with BNM and local authorities in order to comply with their guidelines.

Ng said Public Gold has 18 branches across Malaysia to date. In the Klang Valley alone, it has four branches in Sunway, Ampang, Klang and Kajang.

Plans are in the pipeline to list Public Gold on the local bourse in end-2014.

How does Public Gold ensure it won't fall into BNM's consumer alert list again? "Nobody can assure that," said Ng.

"We just have to ensure there is no complaint against our company and we don't infringe on the basic guidelines of gold trading, that is, just buy and sell physical gold, don't take deposit from customers, and don't promise any returns or give any monthly interest."

Source: The Sun Daily

Official Statement from Public Gold

Adakah EMAS MAMPU MILIK akan MAMPU MENGUNTONGKAN PEMILIK nya?

As-Salam dan salam sejahtera semua Pembaca EmasPGSarawak :) Kali tok kmk akan share topik perbincangan kmk dengan kawan masa trip ke Miri riya. Kmk tok asal cuti jak, memang sik pernah sik nait ke Miri Bintulu nun. Yalah terus berjumpa dengan rakan-rakan dealer PG dan kawan2 sama sekolah kmk masa rilek di Miri. 

Tajuk perbincangan kita kali tok adalah : Adakah EMAS MAMPU MILIK akan MAMPU MENGUNTONGKAN PEMILIK nya? 

Menurut kmk pun, definasi Emas mampu Milik adalah?

1. Harga nya murah(Sebab berat nya ringan)
2. Berat emas yang ringan. (Biasa nya 1gram jak)
3. Spread nya tinggi (Sebab kos minting tinggi)
4. Kos minting selalu nya lebih mahal dari emas yg besar. Sebab, makin kecik emas ya, makin teliti dan rumit kerja mintang emas ya secara lansung meningkatkan kos.
5. Mampu mempengaruhi mentality orang awam, makin murah Emas, makin UNTONG sebab murah. (tapi rami terkeliru dengan beranggapan meli emas murah sama mcm membeli belah keperluan harian yang murah menjadi more value to money)

Tok kmk mok share discussion masa kmk rilek ngan kawan di Miri dolok.. Ada salah sorang kawan kmk nanyak kmk, 

Rol, kenak aku mesti meli emas ngan kau mun ada tempat lain yang jual murah lagik dari harga kau pun emas? 

MURAH is one thing. UNTONG is another thing. Mun kau meli Emas, kau mauk UNTONG ka mauk MURAH? Aku mauk murah ngan untong. duak2 ku maok. Adakah kau meli murah dah menjamin kau udah untong? Aok. Off course lah. Sebab murah. Beli murah, jual mahal.

Beli Emas 1dinar RM700, spread 6% dan beli Emas 1gram RM200, spread 27%.. Di masa depan, tatkala harga emas dah nait 27%, 1dinar kau dah untong 4.5 kali ganda lebih mahal dari harga beli. Manakala emas mampu milik ko bok balit modal... At this point, adakah kau rasa meli emas murah ya udah menjamin ko dah untong?

Emmm... menar juak owh Rol. Ko menar-menar molah palak ku berfikir nektok. Lamak tok ku sik nampak point nak di tanyak kau tok pok. Meli emas tok sik macam meli dak manok, ikan dak sayor di pasar. Makin murah dak manok ya, makin untong sebab barang ya di makan. Berbeza dengan Emas. Makin murah emas belum gerenti aku dah untong mun spread nya tinggi sebab ari ku jual balit, spread ya akan nentu untong rugi ku yang sebenar nya..

So nektok para pembaca semua, apa pandangan ktk? Adakah EMAS MAMPU MILIK akan MAMPU MENGUNTONGKAN PEMILIK nya? Jawapan sejati adalah terpulang dengan penilaian ktk empun. Sikda jawapan yang salah. Semua jawapan adalah betul jika di lihat dari perspektif yang berbeza. Secara umum nya, ada 2 perspektif berbeza yang akan mempengaruhi jawapan dan pilihan ktk. 

PERSPEKTIF 1#: Sebagai seorang PENIAGA

Sebagai peniaga atau dealer yang menjual Emas Mampu Milik.. kompom ktk akan rasa UNTONG. Sebab ktk menang VOLUME berbanding QUANTITY. Kemungkinan pelanggan membeli emas yg lebih murah(kecil) adalah lebih tinggi berbanding emas yg mahal(besar). Makin banyak volume emas kecik-kecik ktk jual, makin untong ktk sebab ktk gain komsiyen(biasa nya sekitar 8%) dari company yg supply emas tersebut. Mentality yang biasa di serap kepada pembeli adalah, beli emas utk di simpan.. Emas melindungi nilai. makin lama di simpan makin untong.. Secara lansung,mereka yang beli emas jenis tok akan terus simpan emas nya selama bertahun-tahun sebelum boleh berpeluang menjual emas nya macam apa yg kmk explain rah soal jawab dgn kawan kmk di awal artikal tok tadik. 

PERSPEKTIF 2#: Sebagai seorang PELABUR

Bila ktk melihat dari konteks seorang pelabur, sudah pasti memilih Emas Mampu Milik bukan menjadi pilihan utama sebab ktk sedar, pembelian pada harga murah belum menjamin ktkpun sebagai pelabur dah untong. Ktk akan sedar bahawa, Keuntongan sebenar Pelaburan Emas adalah berapa % gain profit yang di perolehi pada hari ktk jual emas ya kelak. Selain itu, memilih Emas yg spread rendah akan jadi pilihan sebab ya adalah faktor MASA yang penting dalam menentukan BILA? CEPAT atau LAMBAT ktk boleh untong.. Secara lansung, ktk akan lebih berminat utk menambah lagik simpanan Emas ktk di masa depan sebab ktk merasa keuntongannya hasil dari beli jual beli balit dlm masa yg lebih singkat berbanding yang beli Emas Mampu Milik, tapi sikpat jual dolok emas nya sebab belum lepas dari harga beli due to spread yang tinggi. Kmk pun dah molah dan beli emas kmk balit modal dalam masa 5 hari jak. Boleh baca camney cara kmk untong dalam 5 hari jak rah ctok ---> Cerita 10 dinar

Aih. mun camya, nipu lah sidak nak jual Emas mampu milik ya Rol owh? Sik. sidak nya sik nipu pok. Urusan jual beli emas ya tetap sah. Kau bayar CASH, ko dapat emas di tangan. Sikda masalah di sia. Its just matter of choice nak ney ko maok? Mun ko milih MURAH, beli emas mampu milik. Mun ko milih UNTONG, macam biasa, LOCK emas ngan aku lah pok. Kmk org di Public Gold menyediakan Platform Pelaburan Emas terbaik di Malaysia. Kau tetap untong dari semua segi. Aok. Menar kata kau Rol. Mun ku milih Emas mampu Milik, perlu wujudnya keterbergantungan faktor mesti ada buyer bok boleh untong komisyen. Mun sikda buyer, terpaksa nunggu lamak sebelum emas ya untong. Bok aku paham kenak kau stick ngan Public Gold dan rilek2 jak org meli ka sik meli emas.. Sebab kau tetap boleh polah untong padu lamak tok owh. kenak lagik orang mcm aku tok rol, nak berjual sik pandey. Bagus ku jadi cam kau owh? tetap juak Untong. Yes. Betul. Aku just merik kau option mana nak kau rasa senang jak. ko mok jadi Peniaga or Pelabur ya memang totally choice kau empun :)

Walau bagaimanpun, Ingin kmk tekankan di sitok, dalam duak-duak kes, kedua-dua nya tetap untong. Minak, di saat emas yang spread nya 27% baruk balit modal, emas spread rendah udah berpesta 4.5 kali ganda lebih gembira sebab udah lamak dolok balit modal. Jika kita lihat, kedua-dua golongan pada dasar nya secara automatic akan jadi PENYIMPAN Emas. Setuju sik? Oleh itu, apa pun perspektive ktk dalam konteks pelaburan emas, ktk tetap akan menyimpan emas fizikal di tangan dikpun. Oleh itu, 1st step to do now is, jom tukar kan simpanan CASH kepada simpanan EMAS :)

So now, Adakah EMAS MAMPU MILIK akan MAMPU MENGUNTONGKAN PEMILIK nya? Kmk yakin dan percaya, ktk dah ada jawapan tersendiri base on perspektif ktk empun :)

Semoga tok dapat jadi panduan utk ktk memilih hala tuju Pelaburan Emas ktk :) 

Like Our Page Here ---> EmasPGSarawak Official Page in Facebook

METALS OUTLOOK: Gold May Target $1,800/Oz Next Week

(Kitco News) - Gold prices may try to target $1,800 an ounce next week after missing its chance to break through this week, with Chinese market participants returning from a week-long holiday.


Prices were down on the day and mixed on the week. The most-active December gold contract on the Comex division of the Nymex settled at $1,780.80 an ounce, up 0.39% on the week. December silver settled at $34.572 an ounce, down 0.01% on the week.


On Monday, Canada is closed for the Thanksgiving holiday.


In the Kitco News Gold Survey, out of 33 participants, 23 responded this week. Of those 23 participants, 18 see prices up, while three see prices down, and two are neutral or see prices moving sideways. Market participants include bullion dealers, investment banks, futures traders, money managers and technical-chart analysts.


Gold prices fell just shy of hitting the $1,800 an ounce mark this week, as profit-taking set in following an as-expected September U.S. employment report. The U.S. Labor Department said 114,000 jobs were created in September and the unemployment rate fell to 7.8%


“An overall better-than-expected jobs report, consistent with most recent data that suggest the economy is gaining some momentum,” BMO said.





Nomura analysts called the details of the report “mixed,” but said the biggest surprise of the report was the drop in the unemployment rate, which it said happened for the “right reasons” as both household employment and the labor participation rate increased. Last month the unemployment rate dropped because of a drop in the labor participation rate.


Also, the firm said, the “big net revisions” were positive. Negatives to the report included a drop in the manufacturing data, they said.


Dan Pavilonis, senior commodities brokers with RJO Futures, said gold was a bit whipsawed by the jobs data, but said looking toward next week, he expects that gold will rise above the $1,800 area, citing upward momentum and China’s return to the markets after this week’s holiday, which might spur additional buying.


Additionally, he said, silver looks like it can target the $36 area, based on bullish technical charts.


Pavilonis said he’s also keeping an eye on the situation in Europe, waiting to see if Spain ends up requesting a bailout. If that occurs, that means more liquidity in the markets which is bullish for gold, he said.


Frank Lesh, futures broker at FuturePath Trading, said gold overall looks like it could rise next week.


“Despite some short-term profit-taking today, (gold) will still post a higher close than last week and one of the higher closes of the year, basis December futures. We know that central banks continue to quietly accumulate gold, and economic policies in the U.S. and Europe continue to direct capital to gold as well,” he said.


Lesh also pointed out a few areas to watch next week. “The dollar weakness and euro strength remain an important part of this situation too… There is some concern that bullion has been lagging this move higher and it will be important to see physical demand improve along with investment demand,” he said.


Also worth watching next week is the situation in the Middle East. This week there were riots in Iran over currency problems and Turkey authorized military action against Syria. Ira Epstein, director of the Ira Epstein division of The Linn Group, who said he sees prices for gold rising, said the rising tensions can be price-supportive. “This is gold’s environment,” he said.


While most market watchers said they forecast higher prices for gold next week, that view isn’t universal. There are some technical analysts who said gold might be due for a setback because it hasn’t taken out the $1,800 area and could be building a temporary ceiling at that area.


Pavilonis admitted there is some resistance building there, and noted the February top comes around there too. If gold prices were to pull back, he said solid support is in the $1,750 area. “I’d be a strong buyer at that level,” he said.


Lesh concurred, noting that next week’s key levels will be $1,800 resistance and $1,750 support, which he called “the boundaries of the consolidation range.”

Rol, masih berbaloi sik ku nyimpan Silver ku tok owh?

Salam dan selamat sejahtera para pembaca ya di hargai. kmk bok lepas upgarde SOHO kmk di rumah. Alhamdulilah, sikit-sikit mupok-mupok kata orang :) Jadi nektok kmk tengah nulis artikal tok dengan setup SOHO kmk yg terbaru. Yalah semangat tok :) 

Tok lah Small Office Home Office - SOHO kmk tek. Ada meja baru, kerusi baru dan Black board dah nektok :)

Ok. berbalik kepada topik kita tek, Ada org nanyak kmk, "Rol, masih berbaloi sik ku nyimpan Silver ku tok owh?" Riya ku meli mahal dari harga nektok. Tapi harga silver tok mcm lom nait-nait gik. geney pikey ko Rol? YES. Berbaloi. Kenak? Sebab silver is commodities. In long term, harga nya tetap akan nait juak. Cara kmk melihat silver tok adalah, Selagi masih ada demand ke atas silver, Harga nya sik akan turun jadi murah. Adalah sangat mustahil utk harga silver drop sampey sik bernilai lagik. Jika ktk ada 1kg silver, pasya berik silver ya dengan org.. Walaupun masa tok harga silver tengah turun, pasti org tetap akan nerima silver ya. Setuju sik?

Berikut adalah hasil berbincangan kmk dengan kawan kmk tek..

Mun kita diat trend harga silver sejak 10tahun lepas..berlaku kenaikan yang sangat ketara dalam tempoh tersebut. 

Harga Silver sejak 10 tahun lepas

OCT 2002 = USD 4.30/OZ... OCT 2012 = USD 35/OZ 

Kenaikan Harga Silver dalam 10tahun tok = 713%   

Walaupun harga silver telah nait 713% sejak 10 tahun lepas, namun kenaikan harga ya sik berlaku secara sekata setiap tahun. Dalam jangka pendek, kita dapat diat berlakunya nait turun yang sangat ketara. 

Rah debah tok kmk share kan analisis teknikal dari salah satu Forum Emas online yang kmk rasa sangat bagus utk panduan kita bersama..

_________________________________________________________________________________________________________________

Sumber: Kitco Forum

I've been looking at the silver price charts and wanted to see if I could dig a little deeper to predict the medium-term as well as long-term price of silver.

As you can see in the chart above, if you take the start of the silver bull market as Jan 2003, when silver finally departed the 4$ trading-range it had been in for decades, then you can see that the price of silver follows what I will call Bull Bursts, with silver highs hitting a 29% annual appreciation curve and then falling back in price significantly (at least 34%) before running to new highs within 2 to 3 years.

Note that the lows for each Bull Burst have always occurred shortly after hitting the highs (within 9 months), followed by a walk back up to the 29% annual appreciation line. This is a very scary time for silver investors, as the decline is massive in a short amount of time (at least 34%).

Given that this trend has repeated four times already in the past 10 years, it appears that the low for this Bull Burst may already be in ($25.84 back in September 2011) and we should be in a trading range around 30-40$ until at least late fall 2012, or more likely the middle of 2013. Then you will see an explosive run up to around $75-80/oz in 2013, with a dramatic decline to about 50$ shortly thereafter.

The next big run up after that will be in 2015 to about $130/oz, falling back to about 80-90$/oz shortly thereafter. 

The next (final?) big run up will be in 2017 or 2018, when silver breaks $200/oz. I believe this psychological barrier will cause the masses to pile in to silver and we will hit $300/oz or higher shortly thereafter. Gold should be around $8000/oz by then, so the GSR will be about 25:1.

This is the point at which I plan to sell at least 75% of my precious metals and move the proceeds into whatever cash-flowing asset class is most undervalued (most likely rental real estate and dividend stocks), and semi-retire.

_________________________________________________________________________________________________________________

Lepas explain dan show graph di atas, kwn kmk menganggok paham.. Make sense juak owh Rol. lagik pun, aku tetap juak sik rugi pa-pa pun. Sebab duit pakey ku meli Silver riya memang tujuan asal nya utk simpanan long term ku pakey keperluan masa depan. Mun ku sik simpan silver sekalipun, tetap juak duit ya akan di simpan untuk jangka panjang"

Mun ku nambah lagik STOCK silver ku nektok camney? OK sik rasa kau? YES. Sangat OK bro. Sebab masa harga MURAH lah kita meli. Jual masa MAHAL :) Silver nektok sama macam masa harga Emas at 255usd/oz 10 tahun lepas. Masa ya sikda org duli gilak. Bila harga emas dah cecah 1800usd/oz, bok semua org mok membeli dan memiliki emas. Setuju sik?

Harap tok dapat berik panduan untuk ktk plan apa mok di polah dengan simpanan silver sedia ada :)

Gine Pelaburan Emas tok? Boleh explain dengan cara senang?

Assalamualaikum & Salam Sejahtera pembaca sekalian.

Dalam posting kali tok, kmk mok share gine palaburan emas dalam bentuk mudah. Tok memang exactly apa yg orang rami mok tauk dan sentiasa di bincangkan dalam TT tentang emas kmk dgn kawan-kawan.

Rami orang request dengan kamek coba explain dengan bahasa yang paling mudah step-step nak beli, jual balit ke sine dengan sapa dan sebagainya.. So,

First sekali, sekadar nak refresh balit pengetahuan kitak orang tentang pelaburan emas. Konsep pelaburan emas tok sangat straight forward and mudah..

Ingat word tok,

Beli pada harga rendah, Jual balit pada harga tinggi.

Mun masih juak sik faham tangar contoh tok: Pelaburan Meli Rumah

Katalah kitak meli rumah banglo pakei invest:

Tahun 2005: Rega dibeli RM200,000

Tahun 2012: Rega dah nait jadi RM500,000

Dah untung kah belum? Belum kitak untung

Pakenak belum untung? Sebab kitak belum jual rumah ya!

Dah kitak jual dengan new buyer baruk lah kitak jadi OKB – Untung RM300,000!

Gia lah juak konsep pelaburan emas.. Beli waktu rega rendah, jual pada masa rega dah tinggi!

Oooo senang jak padu…

Camya lah juak mun kitak molah pelaburan emas.. Katakan kitak meli emas Public Gold 100 gram..

Tahun 2012: Beli emas tok rega RM17,200 

Tahun 2014: Rega emas 100 gram dah jadi RM23,000

Nak dapat untung.. Jual emas ya barulah kitak mendapat keuntungannya..

Jual balit dengan sapa? Jual balit dengan kamek atau di ofis Public Gold.

Mun Jual balit dengan kedey di pasar terimak sik? Of course sidak terimak tapi berapa rega nak di ambik sidak (for sure rendah agik). Iboh kata emas Public Gold, emas dari kedey sidak pun gik tulak besar. Biasanya kedey tolak more than 20%.

Pahal jadi macam ya? Sebab kedey di pasar nun purpose dibukak bukan pakei investment, tapi pakei perhiasan.. Lekak meli dari kitak di lebur nya pakei polah dak rantey, gelang and etc..

Emas kedak gelang ngan rantey dapat pakei invest sik? Emas investment ada 2 bentuk jak. Jongkong emas dan dinar emas.. Reason nya adalah spread margin atau susut nilai lebih kecil.

Apa maksud spread margin? Beza rega PG SELL dan PG BUY. Kedak exchange rate juak. Apa itu Spread?

Every year berapa banyak rega emas nait? Paling jaik rega emas nait every year is sekitar RM30 segram.

Berapa minimum rega nak beli emas? Sikda istilah minimum and maximum. Beli ekot berat emas yang ditawarkan. Refer harga sebelah kanan tok diat rega PG SELL (rega beli emas).

Perlu berpayslip indah nak meli emas tok? Sik perlu. Asal ada cash boleh beli emas tok. Orang pencen, orang bekerja, anak masih universiti pun boleh meli…

Lekak kamek beli apa kamek polah? Lekak beli, kitak dapat emas.. Simpan tempat selamat. Ya ajak.. Sikda gago bercarik orang pa ndah..

Sik berani nyimpan di rumah, ada tempat lain pakei simpan? Simpan di Public Gold. Caj sangat murah 0.5% daripada harga PG SELL. Minimum caj is RM20 setahun!

Ok katalah kamek meli emas 250 gram apa kamek dapat? Kitak dapat jongkong emas 250 gram & sijil ketulenan emas ya..

Gine nak tauk tulen kah sik? Jangan riso. Di ofis Public Gold ada mesin densimeter. Khas untuk ngecek tulen kah sik emas. Sama model dipakei sidak Bank Rakyat dengan Agrobank. Kitak nak ngecek gelang tangan bini kitak tulen kah sik pun boleh juak..

Apa kenak rega beza emas Public Gold dengan pasar jauh murah? Harga Public Gold lebih murah per gram kerana di acuan senang dipolah, ada kilang sendiri (siap dapat award Malaysian Book of Record gik).. Harga emas di pasar jauh lebih mahal sebab sidak dah include sekali kos sewa kedey, elektrik, gaji security guard di masuk dalam kos rega emas..

Harga emas nang sik pandei turun kah? Selagi mana US print duit & demand permintaan emas dari seluruh dunia ada selagi ya emas makin mahal.. Pernah kitak dengar rega emas makin murah? Sik nak.. Rumah pun sama, sik pandei turun rega.. Sebab deduak ya dinamakan ASET.

Apa kegunaan meli dinar emas & jongkong? Mun kitak belum nikah, jadikan sebagai mas kahwin & wang hantaran (sikda gik orang pakei cheque nektok).. Mun udah nikah, iboh gago bercarik nikah duak. Bagi pihak perempuan, berik la hadiah jongkong emas or dinar emas dengan husband kitak masa annivesary!

Zakat emas gine? Mun emas kitak simpan LEBIH dari 85 gram and dah simpan setawun baruk kitak ada zakat.. Dunia untung sebab rega emas nait, akhirat apatah lagik. Complete 5 rukun..

Emas tok dapat diwaris kah sik? Kenak nya sik. Senyum lawyer berbagi dengan waris kitak. Senang ajak. Satu untuk kau, satu untuk aku.. Mun nyimpan cash dalam bank, tunggu mahkamah kata boleh baruk dapat berbagik.

Kamek gik mudak. Untung sik ngeloan meli emas? Good debt! Sebab rega nya makin bertambah. Mun kitak nanyak ngeloan makei meli rim tayar cepat kamek jawab rugi! Ekot pengalaman kamek sik sampei 5 tawun dah boleh settle loan.

Apa beza emas Public Gold dengan produk lain? Simple ajak: Harga emas per gram, sijil ketulenan & paling penting spread margin nya berapa percent

Berapa lamak nak dapat untung pelaburan emas tok? Medium long term. Advisable lebih kurang setahun..

Mun nak nikah bagus sik meli emas ooo? Diat gambar debah tok.. Judge yourself..

Gamba hantaran kawin kamek in 31.12.2011. Galaxy Note ya dah start lagging/slow dan turun RM400 lebih murah harga nya dari harga beli dolok while Emas 1dinar ya tetap bernilai :)

Ok puas hati dengan jawapan kitak Rul. Gine cara nak beli?

Beri nama penuh, email, no phone and emas yang kitak maok beli..

Hantar ke 016-8538019

**Artikal asal, dari mentor kmk, En Hafizul Hakim. 

Gadai nyawa kejar emas? Kenak?

Kosmo 21 Ogos 2012

Tempah maut dalam terowong

Oleh MULLER ASEN
berita@kosmo.com.my

Pengurus Geologi North Borneo Gold, Murray Stevens memantau kawasan perlombongan haram di kaki Gunung Tabai di Bau, Sarawak baru-baru ini.

KUCHING – Meskipun lombong emas di kaki Gunung Tabai, Bau di sini sudah memakan tiga korban, para pelombong emas haram tidak pernah serik untuk mencari logam berharga itu sejak berbulan-bulan lalu.

Lebih menjengkelkan, mereka bukan sahaja mencuri emas dari lombong berkenaan bahkan sanggup pula memberi suapan kepada pekerja syarikat yang memiliki lombong terbabit agar melindungi kegiatan mereka.

Lombong tersebut dimiliki oleh syarikat North Borneo Gold Sdn. Bhd.

Pelombong emas haram itu yang terdiri daripada warga tempatan dan pendatang asing tanpa izin langsung tidak mempedulikan soal keselamatan diri ketika melakukan kegiatan tersebut.

Ini kerana hasil jualan emas yang diperoleh sangat lumayan.

Peralatan-peralatan khas seperti penyodok tanah, pahat, tukul, guni serta khemah yang dibawa menjadi penguat semangat kepada mereka untuk menggali emas sebanyak mungkin.

Ikuti berita selanjutnya di KOSMO! hari ini.

Sumber Berita: Kosmo Online

____________________________________________________________________________________________

Kenak orang sanggup gadai nyawa dan buat apa jak demi utk mendapatkan emas? Apa kah Emas ya lebih mahal dan berharga gik dari nyawa sidak empun? Menurut pandangan kmk, the only reason kenak org sanggup polah apa saja demi Emas adalah, sebab emas BERNILAI. ya jak. simple. Pusin belit camney sekali pun cerita emas tok, end up nya, mesti org mau memiliki, ingin memiliki, suka kepada emas sebab nya bernilai :)

Secara lansung, tok akan manjawab SOALAN-Soalan yg Berbunyi camtok: 

" Ney ko tauk harga emas makin ari makin mahal? Mun emas turun harga jadi RM0 camney? "

Sebab ya, bila kelaka part Emas, kita sik pat diat Emas sama macam persepsi pelaburan-pelaburan lain. Pelaburan lain, walau apa sekali pun jenis pelaburan ya, (ktk tolong nama kan dikpun rah comment) mesti akan ada SOMETHING utk explain dengan details 'why this why that' pelaburan tersebut boleh di yakini oleh pelabur. Kita pun menar-menar ngecek details sebelum mula melabur di sia.

2600 tahun yang lalu Kerajaan Lydia mengeluarkan syiling emas pertama dunia, The Lydian Lion.Ia menunjukkan bahawa ribuan tahun dahulu hati manusia sudah tertarik kepada emas danmenggunakannya sebagai wang.

Berbeza dengan pelaburan emas. kmk explain dalam bentuk situasi:

Mun lah tek Emas lamak nak di atas tok di temu ktk masa ncangkul tanah bekebun(memang ada org madah 'mun juakk'. Tapi sikpa, main point di sitok just utk berik ktk gambaran situasi jak). Secara automatic, sik payah kmk explain apa-apa, ktk sedia maklum bahawa benda ya Emas dan ktk akan menyimpan nya walaupun emas tok dah 2600 tahun yang lepas pun cerita. Sik perlu kmk yakin kan lagik dengan 'why this why that' bila bercerita tentang emas. Tanpa ngeluar graph performance Emas sejak 10 tahun lepas pun kita terus paham dan yakin bahawa emas adalah bernilai  :)

Di Public Gold, ktk boleh memiliki emas pada harga yang lebih murah dari harga pasaran. Senang beli. Senang jual balit. Sikda gago bergadai nyawa :) Just Call/Sms/whatsapp kmk +6016538019(available masa kmk cuti jak. kmk kerja di Offshore rig. masa kerja sikboleh embak tepon) / +60168965244 (24/7) or Inbox kmk di Facebook utk LOCK price ktk. For more info, Bagaimana Membeli & Menjual?

Oleh itu, kmk strongly believe Emas ada lah satu pelaburan yang selamat dan menguntongkan sesiapa sahaja yang tauk ilmu yang benar tentang nya :)

NOTA: Sungguh pun kmk madah emas tok lebih bagus dari lain-lain pelaburan, bukan bermaksud kmk nyuroh ktk close semua pelaburan lain dan fokus semata-mata dengan pelaburan emas ajak. Dan bukan  juak bermaksud pelaburan lain semua-semua sik bagus. Point yang kmk sampaikan di sitok hanya untuk perbandingan jak. Your money, Your choice, Your decision to make :)

Perutusan Raya 2012 dari admin EmasPGSarawak.

Kamek Azrul Azmil Perali ingin mengucapkan Selamat Hari Raya dari perantauan kepada semua pembaca, pelanggan-pelanggan yang di hargai, Dealer-dealer Public Gold seangkatan dengan kamek, guru-guru dan mentor-mentor emas semua sekaligus rakan taulan, kenalan-kenalan, mereka yang selalu bertanya dgn kmk di Facebook dan semua siapa sahaja yang mengenali kmk! kamek juga ingin mengambil kesempatan tok utk memohon maap jika ada salah silap, terkasar bahasa atau menyinggung perasaan ktk di posting atau cara menjawab soalan yang sik di kenan hati dan mintak maap juak atas apa-apa jak salah silap kmk dgn ktk orang semua selamak tok :)

"Lisan kadang-kadang tak terjaga, Janji kadang-kadang terabaikan, Hati kadang-kadang berprasangka, Sikap kadang-kadang menyakitkan. Harapan ini akan menjadi indah, jika selalu ada kemaafan diantara kita''

''Ya Allah, muliakanlah sahabatku ini, bahagiakanlah keluarganya, berkatilah rezekinya, kuatkanlah imannya, berilah kenikmatan ibadahnya, jauhkanlah dia dari segala fitnah.. amin..''

Salam Perantauan,

Tulus Iklhas,

Azrul Azmil Perali

Admin: www.emaspgsarawak.blogspot.com

Syariah Compliances dalam pembelian emas?

Ada kenalan kamek nanyak di FB:

Assalam bro.thnks for the add.nak nanyak pasal PG.syariah compliances kah? lom nemu statement gik.tq 

Jawapan kmk: 

Wkslm Tuan. PG hanya nyedia platform jual dan beli emas fizikal utk pelaburan. Dimana setiap transaksi di lakukan dalam bentuk Cash dan pelabur akan menerimak emas fizikal utk di simpan rah tangan pelabur dikpun. The idea is, pelabur beli emas masa murah. Simpan. Dan jual bila harga mahal :) mun kita generate sigek question yg berbunyi, mun kita meli emas rah kedey emas di pasar(kedey biasa lah, habib jewal, tomei, poh kong etc), utk di simpan as pelaburan, perlu sik nya syariah compliances sebelum kita boleh membeli nya? 

Selagi proses jual beli itu sendiri ada akad emas (LoCK) yg sah. Wujud Penjual dan pembeli yg bersetuju dgn deal yg telah termetrai. tanpa paksaan atau deal yg berat sebelah. Wujud emas nya. (bukan emas dlm buku or online. Bayar emas tapi dpt buku), maka sikda masalah lah transaki emas tersebut :) 

PG nyedia platform pelaburan emas yg terbaik di Malaysia. Sbb? Di PG, harga emas update setiap 20min base on harga LIVE emas dunia. Harga yang lebih murah dari harga emas pasaran. Spread jual balik yg rendah. Boleh LOCK jual dan beli balik at any time 24/7. Dgn kata lain, di PG, pelabur emas dpt memaksima kan keuntongan dan minimize cost related.

Update: Trend harga emas dari Mei ke Ogos 2012

Salam dan selamat Sejahtera Semua!

OK, sikit update berkenaan harga emas dalam tempoh 3bulan tok. Berdasarkan graph rah debah tok, kita dapat diat:

Update pada 17 Aug 2012

Line Resistance sangat kuat bertahan di 1633. dah 3bulan harga emas cuba mok lepas dari R 1633 tok. mun lepas jak R1633, or berik lah 1650. ada potensi besar harga emas akan nait menghampiri R1700/1800 at least.

Dalam masa yg sama, Line Support pun sangat kuat bertahan di 1549. Ada pun percubaan untuk turun ya berlaku 7 kali dalam masa 3bulan tok, penurunan ya bermain di sekitar 1549 ajak. Jika harga turun limpas 1549, maka standby jak utk molah pembelian besar-besaran :) Kenak beli besar-besaran? Sebab, ktk sik perlu tunggu harga nait cecah 1900 bok untong. cukup sekadar harga nait balit lepas spread 5%~8% jak ktk dah balit modal :)

Soalan yang timbul nektok, adakah anda telah rugi apabila sik paham dan sik tauk baca graph? adakah anda rugi mun sikda masa nak nangga grap jak2 siang malam ngecek harga? Jawapan nya, TIDAK. Kenak? Sebab, harga emas dah nait lebih 500% sejak 10tahun lepas. Dengan kata lain, simpan ajak sik payah polah apa-apa pun simpan emas masih juak menguntongkan :) Setuju sik?

Harga emas semenjak tahun 2001. Setiap line merah bermaksud 1 tahun.

So, dari ctok dapat kita simpul kan bahawa, Pelaburan Emas adalah satu jenis pelaburan yang pasti menguntongkan dari semua segi :)

Note: Jika anda berpeluang menjual emas ya pada masa harga mahal, sila kan. jangan tunggu. Simpan CASH ya, bila harga turun balit, ktk boleh beli lagik. Dalam jangka panjang, ktk dpt menikmati keuntongan jual beli emas ya berkali adalah lebih baik dari ktk beli sekali dan simpan selamak 5tahun.. dan hanya jual pada tahun ke 5. ktk tetap juak untong. Tapi ktk hanya untong sekali ya ajak dalam masa 5tahun ya :) Boleh refer artikal,  Buat untong dengan Pelaburan Emas for dummies!

Cerita 10 dinar

Salam semua dan selamat sejahtera semua. Agak lamak dah kmk lom post artikal terbaru di ctok due to  nektok masih agak sibuk. Banyak artikal masa dalam draft dan belum di publish sbb lom finalize abis gik ayat nak di tulis. Artikal tok start di draf kan masa kmk tengah rilek di Burger Inc. Sebuah stall otai Burger di Miri yg dah bukak since 2001. Sidak pun Tuna Burger memang kmk pun all time favourite lah! LIKE US! Burger Inc Miri, since 2011!

Superb Tuna Burger!! 

Kebetulan juak kmk bertemu ngan kawan-kawan yg mok bertanyak lebih info berkenaan pelaburan Emas bersama Public Gold tok :)

So, macam, tajuk di atas, Cerita 10 dinar..  kali tok mok share cerita camney kmk boleh polah untong dengan 10dinar dan boleh molah jual beli 10 dinar yg sama 2 kali dalam sebulan. 

BELI 1#: Pada 28 Jun 2012, harga 10dinar terendah bersamaan RM6936. Esok ari nya ya, 29 June 2012(refer gamba di atas), harga PG Buy 10 dinar bersamaan RM6796. Tahukah kitak? kinek tok, selepas kurang 24jam dgn harga Semasa(ritok) PG Sell = RM7154 PG Buy = RM6796, kmk ada RM2 lagi sebelum break-even/balik modal dari pembelian 10 dinar tadik? Kenak? 

Ju tekan calculator sama-sama :)

Beli RM6936. Komisyen ND(mcm kmk lah) 1.5% = RM104. (marek)

Jual RM6796. komisyen buy back 0.5% = RM34 (ritok)

Total = RM6796(di bank in next day) + RM104(komsiyen) + RM34(komisyen) = RM6934! - harga beli marek RM6936 = RM2 gik sebelum boleh break-even. Baruk 24jam jak tuan-tuan dan puan-puan sekalian, di tahap tok, kmk dah almost balit modal beli emas 1o dinar yg berharga RM6936 marek. Tapi kmk lom decide mok jual gik. So kmk keep jak dolok 10 dinar ya tek. 

JUAL 1#: Tup Tap Tup Tap.. pada 3 July 2012(refer harga di atas), harga emas telah nait lagik sekali.. Harga PG Buy nektok bersamaan RM 6,846.00. Di tahap tok kmk decide mok jual 10 dinar tok tek. Kenak? Sebab, dalam masa 5ari jak 10 dinar kmk dah untong RM48. So kmk jual emas kmk time tok dan keep CASH ya standby utk pembelian yg seterusnya :)

aaaa, sambung gik cerita 10dinar tok.. riya 3July kan dah jual masa harga termahal dan untong RM48 (harga beli RM6936 on 29 Jun) terus dpt CASH total = RM6984(3July).. Duit ya di simpan jak. standby.. 

BELI 2#: Pada tanggal 12 July2012, yakni setelah 9 hari dari JUAL 1#, harga emas 10 dinar kmk turun jadi RM6913.. YES! masa tok LOCK lagik pakey duit standby riya. Bayar CASH.(masih da balance RM71 duit standby riya lepas LOCK baru tok). nektok emas 10 dinar dah balit dalam tangan kmk dan kmk akan tunggu harga nait balit gik. Now kita dah di 2nd Batch simpan balit 10dinar di tangan.

main camtok jak, sikda buyer pun ND dpt senang2 jadi PD :) belum abis bulan July, dah 2x peluang tok dtg :) So lebih baik daripada kita perap jak emas ya lamak2 lepas bertahun-tahun bok jual :) 

JUAL 2#: 27 July 2012,(lepas 16hari) harga 10dinar nektok dah RM6787(Last updated 2012-07-27_01:55:59). Masa tok jual gik balit 10dinar ya terus dpt CASH RM6787 + 1.5% (hasil dari LOCK RM6913) + 0.5%(buy back komisyen dari RM6787) = Total = RM6925. dah balit modal pembeilan 10dinar 2nd batch@RM6913 yg di buat pada 12July yg lepas :) Sekarang simpan CASH tok, tunggu harga turun balit.. bersedia utk pembelian 3rd batch. 

Lam bulan tok jak Sales kmk dah +/-RM14,000. lom masok org lain LOCK ngan kmk. Just main dikpun 10dinar jak :) Compare ngan mun ktk beli 10dinar di awl bulan ya tek.. simpan jak lom jual2, masih juak UNTONG lah. tapi dgn guna cara tok, at least ktk dah ada Total sales 10dinar x 2 utk July. Mun simpan ajak, bok sigek 10dinar jak komisyen ktk. mun simpan 3tahun bok jual, mean sekali jak ktk dpt polah untong dgn 10dinar ya. bayang kan ktk polah camtok dalam tempoh 3tahun ya?

Disclaimer : This commentary above is written for general information only. No liability by the writers for the accuracy of this commentary.

UTUSAN MALAYSIA: 77 syarikat pelaburan tidak sah - 1 Ogos 2012

Petikan Akhbar, Pautan Berita.

KUALA LUMPUR 31 Julai - Para pelabur di negara ini perlu berhati-hati membuat pelaburan kewangan agar tidak terjebak melabur ke dalam syarikat-syarikat pelaburan yang tidak mendapat kelulusan daripada Bank Negara Malaysia (BNM), termasuk membabitkan skim-skim kewangan yang melibatkan pelaburan emas dan logam berharga lain.

Menurut BNM, sejumlah 77 syarikat atau individu telah disenaraikan sebagai entiti yang tidak mendapat kelulusan dan tidak sah menjalankan aktiviti pelaburan mengikut peraturan kewangan di negara ini.

Antara jenis-jenis aktiviti yang dijalankan oleh syarikat atau individu tersebut kebanyakannya berkisar kepada pelaburan emas, perniagaan mata wang asing atau menjalankan pelaburan tidak berlesen.

Bank pusat itu berkata, ia menerima pertanyaan daripada orang ramai berhubung dengan syarikat yang mendakwa sebagai institusi terjadual dengan BNM untuk membolehkan syarikat tersebut mendapatkan pelaburan daripada orang ramai.

BNM dalam satu kenyataan di sini hari ini menyatakan bank pusat itu tidak mengeluarkan sebarang lesen mahupun surat kebenaran perniagaan kepada syarikat yang menjalankan aktiviti pemajakan, pemfaktoran, pembangunan kewangan atau pembangunan kredit.

Tegasnya, di bawah Akta Bank dan Institusi Kewangan 1989, syarikat-syarikat tersebut perlu mendapat perakuan bertulis daripada Bank Negara sebelum boleh menjalankan aktiviti itu di negara ini.

"Surat perakuan tersebut yang dikeluarkan oleh BNM bukan lesen perniagaan atau kelulusan daripada BNM berhubung dengan perniagaan terjadual seperti dinyatakan dalam surat perakuan berkenaan, ataupun perniagaan lain yang dijalankan oleh institusi terjadual berkenaan," kata bank itu.

"Senarai institusi terjadual yang telah mendapat perakuan daripada Bank Negara itu hanya untuk disimpan bagi tujuan perangkaan semata-mata.

"Sekiranya syarikat-syarikat tersebut telah berhenti daripada menjalankan perniagaan terjadualnya, BNM akan menarik balik surat perakuan tersebut," kata bank pusat itu dalam satu kenyataan di sini hari ini.

Justeru ia menasihatkan orang ramai supaya berwaspada apabila berurusan dengan syarikat atau individu yang menggunakan surat perakuan yang dikatakan dikeluarkan oleh BNM untuk menarik pelaburan dalam pelbagai skim kewangan.

Untuk maklumat lanjut, orang ramai boleh merujuk kepada bahagian 'Peringatan kepada Semua Penggguna Kewangan' yang terdapat di laman sesawang Bank Negarahttp://www.bnm.gov.my atau hubungi talian: 1-300-88-5465 atau dan e-mel:bnmtelelink@bnm.gov.my

Nota dari admin: 

At least list yg keluar dari BNM hari tok dapat pakey panduan utk ktk org dalam menentukan hala tuju apa ktk org mok polah dgn duit masing2. bukan intention mok melarang madah nak ya or nak tok sik bagus. benda camtok penting juak kita ambik tauk. Bukan apa, biasalah org kita, mun apa2 berlaku dudi hari, sorang nyalah sorang, sorang nyalah sorang. at least BNM dah madah awal. so when you get involve, you no your risk and what to be expected? Sebab masing-masing ada plan dan tauk apa yg nya polah. Ada yang sikduli scam ka apa, janji boleh polah duit, dan BERSEDIA utk rugi. Golongan tok sikda masalah gilak sbb sidak ready dan tauk apa mok di polah.. Cuma golongan yang ngikut-ngikut ajak dan berimpian kaya dgn mudah dan cepat ya jak jadi masalah. tang ada duit kenak freeze. masa ya bok jadi problem :)

Pengiktirafan Public Gold Malaysia!

Salam semua! Hari ya masa kmk ke Miri, ada kawan kmk nanyak, mun menar Public Gold tok terbaik, apa bukti nya?

Ok, di sitok adalah pencapaian dan pengiktirafan Public Gold di peringkat kebangsaan dan di mata dunia! kmk share kan utk ktk org semua.

The Malaysia Book of Records!

KWYP Award

ARFF Award

Brand Laureate Award

KLMCC Award

MBA Award 

APEA Award

SOBA Award

Golden Bull Award

Pengiktirafan tok sik akan datang sendiri mun Public Gold sik perform bagus. We are the BEST! Sebab ya dapat semua pengiktirafan yang di atas :)

[Borneo Post] – Public Gold tips ‘jump’ in gold prices soon

Salamekom Semua! :)

kmk mok share news di The Borneo Post hari tok tek (7 August 2012).

Petikan Akhbar The Borneo Post, 7 August 2012

KUCHING: Public Gold Marketing Sdn Bhd (Public Gold) anticipates for another ‘jump’ in the yellow metal market with higher expectations for a price increase this time than the previously recorded US$1,900 (RM5,896) per ounce.

It predicted the gold market to go for another round of consolidation in the next one or two years which in return would contribute to the increase of gold prices.


Item Emas Pelaburan! Gold Bar, Dinar & Dirham.








Belum Mula? Contact kmk utk memulakan Simpanan Emas pertama ktk!


“I can see that the jump will surely happen and is only a matter of time before it takes place,” said Public Gold founder and executive chairman Datuk Louis Ng to The Borneo Post.

Gold prices had been on the rise since year 2001 from US$280 (RM869) per ounce to USD$1,900 in September 2011, moving steadily with a typical healthy consolidation of 10 years since 2001.

“For the last 40 over years, the worldwide stock market enjoyed a fantastic or never-before-occurred super bull run. Investors are so used to the security market investment until most of their financial resources are either directly exposed to the stock market, mutual fund, unit trust or retirement savings in the form of Employees Provident Fund,” said Ng.

“As those funds are indirectly invested in the stock market, I would say that the exposure of the investors towards the gold market is almost close to zero,” he added.

Another factor that would contribute to the increase of gold price is if the Central Bank of Europe or Federal Reserve of US goes for one more round of quantitative easing (QE).

“If we look at the current situation in Europe, many European countries still could not find an appropriate solution to solve the huge debts that they currently owe. Therefore, there’s no easy way out for everyone in tackling the crisis other than solving it through the tough and challenging approch,” Ng pointed out.

“Gold price will definitely be on the rise if mankind continues playing the game of printing money,” he added. “In terms of gold investments, i don’t think the general public is well educated on that aspect and that they should be given the exposure because there are still plenty of rooms for growth.”

Public Gold is the first Malaysian company to produce certified gold and silver bullion bars locally. Since its inception in 2008, it has now 18 branches throughout Malaysia, covering almost every state with at least one or two customer service centres.

In terms of expansion, Ng pointed out Brunei, Indonesia, Thailand and Singapore for his short term plan. “In addition, we need to establish offices in those countries first before moving further to countries, namely China, Vietnam or India.”

Locally, it has a branch in Kuching and will soon open its Kota Kinabalu branch towards the year-end.

“If we are unable to penetrate the Brunei market, we are most likely to replace it with Bintulu. Till date, we have approximately 977 dealers encopassing Sabah and Sarawak,” Ng highlighted.

Asked if there were any plan for public listing in the near future, Ng said Public Gold did not intend to get listed at the moment as “we are still in the high growing phase and is quite comfortable with the cash flow and don’t feel the need to raise fund.”

“However, we may get our vehicle company, Public Safe, to go for public listing due to its straightforward business operation module. It only involves safety deposit boxes renting and guarantees a rather secure return of profits unlike Public Gold which comes with an inconsistent return due to the unstable gold prices.

“Hence, it is easier and much more convenient for Public Safe to be listed first,” Ng concluded.

News: IMF Board Approves €28 Billion Loan for Greece

IMF Survey online

March 15, 2012

• IMF approves €28 billion in new financing for Greece
• Private sector debt writedown important step toward restoring debt sustainability
• Restoring growth through improved competitiveness will be key

The IMF has approved a new €28 billion loan for Greece as part of the overall financing package agreed by Athens and its partners in the eurozone.

The IMF’s 24-member Executive Board agreed March 15 that the new loan will be made under the Extended Fund Facility, which is designed for countries undertaking reforms to address deep-seated structural weaknesses.

Approval of the new program will lead to the immediate disbursement of about €1.65 billion ($2.2 billion). The previous 3-year Stand-By Arrangement that was approved in May 2010 has been cancelled by the Greek authorities, which means that any undisbursed funds have also been cancelled and will not automatically become part of the new program.

“Greece has made tremendous efforts to implement wide-ranging painful measures over the past two years, in the midst of a deep economic recession and a difficult social environment. The fiscal deficit has been reduced markedly and competitiveness has gradually improved. However, the challenges confronting Greece remain significant, with a large competitiveness gap, a high level of public debt, and an undercapitalized banking system,” IMF Managing Director Christine Lagarde said.

“The new Fund-supported program will enable Greece to address these challenges while remaining in the Eurozone. The program focuses on restoring competitiveness and growth, fiscal sustainability, and financial stability,” she added.

Key element

A key ingredient in the government’s revamped economic strategy was the successful conclusion on March 9 of a substantial write-down of Greece’s bonded debt, which will dramatically reduce the country’s medium-term financing needs. The IMF has maintained that Greece must reduce its debt-to-GDP ratio to 120 percent by 2020 if its debt is to become sustainable in the medium term. The debt exchange, which saw private sector investors agreeing to write down 75 percent of their Greek bond holdings, is the largest and steepest debt reduction agreement in history.

Official sector support for the second Greek program entails €130 billion (about US$170 billion) in new financing, in addition to the remainder of the financing support for the first program of €34 billion (about US$44 billion). The IMF contribution of €28 billion will be disbursed in equal tranches over a four-year period.

Putting growth at the center of the agenda

The main goal of Greece’s economic program is to support a return to growth through a major improvement in competitiveness.

Greece continues to face steep challenges when it comes to its ability to compete in international markets. Wages have increased faster than productivity growth for years. Unit labor costs―which is a key measure of competitiveness―increased by over 35 percent during 2000-10, compared to just under 20 percent in the euro area. These numbers are a large part of the reason why Greece’s exports of goods and services amounted to only about 14 percent of the goods it produces.

Snapshot of Greece’s Economy

• A large public sector with generous pay compared to the private sector. The public sector wage bill as a percent of GDP in Greece averaged 12.6 percent from 2005-2009, compared to the EU average of 10.5 percent during the same period. Wages in the public sector are on average almost one and half times higher than in the private sector.

• A high minimum wage compared to other countries. The current minimum wage in Greece is 50 percent higher than in Portugal, 17 percent higher than in Spain, and 5-7 times higher than in Romania and Bulgaria.

• Wages have outpaced productivity growth for years. Unit labor costs (a key measure of competitiveness) in Greece increased by over 35 percent during 2000-10, compared to just under 20 percent in the eurozone.

• Large competitiveness gap. Greece’s competitiveness gap compared to its main competitors stands at around 15-20 percent of GDP.

• High levels of unemployment. As a result of the deep recession and the continued lack of competitiveness, unemployment is still climbing. The overall unemployment rate stood at more than 20 percent as of November 2011. For young people (those aged 15-29), it is close to 40 percent, according to the latest data.

• High level of public spending relative to tax revenue. Public spending in Greece as a percent of GDP is still close to the euro area average of 49-50 percent. Yet tax revenue, at 39 percent of GDP, remains significantly below the euro area average.

Currency devaluation is not an option for Greece because if its membership in the eurozone. This means that unit labor costs can only be improved through improved productivity—which is difficult to engineer in the short run—or through wage adjustments. The program focuses on labor market reforms to realize adjustment, aiming to also limit the rise in unemployment.

The labor market reforms include a substantial reduction in the minimum wage, which is intended to align it more closely with levels in other European countries. The minimum wage in Greece is much higher than that of its competitors—50 percent higher than in Portugal, and 18 percent higher than in Spain. A lower minimum wage will help reduce the competitiveness gap, and also help young people in particular gain a foothold in the labor market. Youth unemployment in Greece is painfully high at close to 40 percent.

But wage cuts will not by themselves solve the deep-rooted problems of the Greek economy. Many service professions that play a key role in the economy are insulated from competition, which means that prices are much higher than they should be. The lack of competition also impairs other parts of the economy that rely on these services for their products, holding back innovation and job creation. Tackling these reforms may lead to resistance from those who stand to lose, but will bring the benefit of greater price competitiveness to the economy.

As part of the effort to open up the economy and make it more competitive, the government remains committed to selling €50 billion in public assets. This should help boost investment. But the timetable has now been scaled back compared to the strategy under the previous IMF-supported program to better reflect market conditions and the time needed to prepare assets for sale. The full amount will now be achieved early in the next decade.

Achieving a viable level of public spending

The economic program also targets new reductions in public spending. These would come on top of deep cuts made during the previous three years.

On the surface, this seems harsh. Public spending in Greece as a percent of GDP is still close to the euro area average of 49-50 percent. But tax revenue, at 39 percent of GDP, remains significantly below the euro area average, reflecting endemic tax evasion and narrow tax bases.

The program puts a high priority on stemming tax evasion and expanding bases. Large numbers of self–employed people in Greece pay very little in taxes despite their high earnings. But this is a complex reform effort that will take time and strong political commitment, and some of the dividends do need to be devoted to reducing the high tax burden on the formal sector in Greece. Overall, better tax collections can only deliver a small portion of the 7 percent of GDP needed to attain the fiscal target of 4½ percent of GDP for 2014 that has been agreed under the program.

In fact, looking more closely at the recent historical record, tax revenue in Greece remains fairly close to its long-term average. It is a rapid increase in spending—in particular social transfers—that has been one of the main drivers behind the large deficits accumulated before the crisis. Indeed, since 2000, social security spending in Greece has increased by about 6 percent of GDP.

The focus of the program is therefore to restrain spending while strengthening the core social safety net. Social transfers will need to be better and more efficiently targeted so as to allow measures that protect the most vulnerable people in society to be strengthened. There is ample scope to do this: existing social benefit programs are unequally distributed and poorly targeted—for instance, 60 percent of all family benefits go to the 40 percent with the highest incomes.

Ensuring the solvency of the banking sector while protecting depositors

Since 2009, banks have lost about 30 percent of their deposit base. The recession is also taking its toll, with the number of non-performing loans rising to more than 15 percent of all loans by end-September 2011. On top of that, Greek banks must now recognize the losses on their government bond holdings because of the private sector debt exchange.

Under the new IMF-supported program, €50 billion has been set aside to help banks cope with these various challenges. Appropriate incentives have been structured to encourage private participation in recapitalization, while the framework for recapitalization and resolution has been overhauled to ensure funds are put to good use, and that political interference in bank management is minimized.

During the recapitalization process depositors will be protected. And the support has been designed to encourage continued liquidity support from the euro system.

Maintaining support for Greece

Renewed financial support from Greece’s international partners will help cover the funding gap for now and give the government time to implement further reforms. But even with the substantial private debt write-off that was just agreed, Greece’s debt will remain very high for some time.

Greece’s European partners have committed to provide adequate support, during and beyond the program period, for as long as it takes for the country to regain market access, provided the policies that have been agreed are implemented in full.

“Risks to the program remain exceptionally high, and there is no room for slippages. Full and timely implementation of the planned adjustment—alongside broad-based public support and support from Greece’s European partners—will be critical to success, Lagarde said.