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Squatters cast a shadow on the Malaysian twin towers

Anil Noel Netto writes from Kuala Lumpur
*** Malaysia's economic boom has seen people flocking to urban areas in search of jobs and has sucked in migrant labour. But an increasing number of workers who have helped build the country's impressive growth rate, reports Gemini News Service, find they do not have a proper home. ***
Hundreds of thousands of squatters live within a few miles of the Petronas Twin Towers, the pride of Kuala Lumpur and the world's tallest buildings.
The fact that these two aspects of modern Malaysia are close neighbours highlights a flaw in the country's recent success story: despite impressive overall economic growth rates and rising living standards, a shortage of low-cost housing poses a big social problem.
The number of urban squatters has rocketed as workers head for the cities in search of better jobs.
Kuala Lumpur city council statistics show that at least 40.000 low-cost homes — selling for not more than 25,000 Malaysian ringgit — are needed in the capital. Neighbouring Selangor state requires 26,000 sucn homes. Cheap housing is also scarce in the southern states of Johor and Malacca.
Up north, in Industrialised Penang. 40,000 people have applied for low-cost houses. Squatters have been identified Ln at least 50 villages in the
state.
Several official Initiatives have been launched to tackle the shortages. The latest involves plans to buy low-cost houses from private developers for rent to the poor. The proposal envisages that those renting cheap houses from the state will be able to buy better homes when their living standards improve.
A National Housing Company is to be established with RM1 billion start-up capital to quicken construction of low-cost housing. A further one billion Malaysian ringgit has been allocated to provide housing for public-sector workers. More than half a million homes are expected to be built by the year 2000.
"The building of low-and medium-cost houses is a pressing issue in the social agenda and will continue to be given priority." says Deputy Prime Minister Anwar Ibrahim.
Despite this assurance, many social campaigners remain sceptical about the likely success of the measures.
"I don’t think enough prior-
ity is given to low-cost housing." says campaigner Jubal Lourdes. "Priority seems to be given to money-making projects.''
In a country of 20 million people, the presence of about three million foreign workers from Indonesia. Bangladesh and the Philippines has further stretched housing resources. These migrants live mainly in makeshift settlements or in overcrowded urban houses.
Many squatters live in deplorable conditions without proper sanitation. Plank houses huddled together pose a fire hazard while cloggecl open trenches holding waste water breed germs and mosquitoes.
The trenches sometimes overflow, flooding the settlements. In the Keningau district
of Sabah, a tropical storm in December swept away more than 500 squatter homes that had been built on dry river beds.
Residents of squatter settlements are mainly poorly-paid factory workers. Few can afford the 25.000 Malaysian ringgit needed for a low-cost home, and acquiring a housing loan is out of the question. Many are older workers who face a bleak future.
To encourage developers. Prime Minister Dr Mahathir Mohamad has proposed a two-tier pricing system. He says the prices of Tow-cost homes outside cities could be maintained at 25.000 Malaysian ringgit while those in urban centres could rise. "Land prices in towns are bound to go up." he
says. "The price of the land would be much more than 25,000 Malaysian ringgit."
Property developers, who have been pressured to build low-cost housing, have welcomed the proposal.
"It shows the government is aware that although construction costs differ slightly between states, there is a vast difference in land prices." says Zainal Abidin Zainuddin. Secretary-General of the Housing Developers' Association. He describes the move as timely, since inflation had doubled-ur-ban land prices in the past 20 years.
Social campaigners fear that the poor will be forced out of cities if the price of cheap housing rises. However, Mahathir maintains: Even if the poor move out of the town areas, if they look after their area well, they will find that In time, towns will sprout up around them and the value of their properties will go up "
Critics are not convinced. "We want the government to ensure that the new prices are affordable to the lower income
group." says Hamdan Adnan. President of the Federation of Malaysian Consumer Associations.
Wee Choo Keong. of the oppo-sitlon Democratic Action Party, says: "Most housing projects will bring huge profits to the developers. They should tie responsible enough to subsidise the construction of low-cost
Whether Malaysia can solve Its housing problems will depend largely on the political will of the ruling coalition, which seems preoccupied with rapid industrialisation and prestigious projects.
Poorly - non sed factory workers who have oiled the engines of growth are waiting to see If the rhetoric about housing priorities will be translated into reality. — Gemini Neius
Exchange rate 81= RM2.5 tAnil Noel Netto is a freelance writer based In Penang. He also works on the editorial board of Altran Monthly, an English language magazine focusing on political. social. economic and human rights Issues in Malay stay