By Samantha Tan Chiew Tieng
PUTRAJAYA, March 15 (Bernama) -- In the increasingly uncertain global economic situation due to geopolitical conflicts in the MIddle East, people not only need to save money but also think about ways to increase their income to ensure that their household finances remain stable.
Dean of the Faculty of Human Ecology, Universiti Putra Malaysia (UPM), Prof Dr Mohamad Fazli Sabri said that in the increasingly challenging cost of living situation, many people think that saving measures are enough, but in reality, increasing income also needs to be given attention so that financial balance can be achieved.
He is of the view that financial management cannot be seen only from the perspective of controlling expenses, but rather must include efforts to increase sources of income.
"In the current situation, the government or employers can play a role by providing training in new skills such as digital skills, artificial intelligence (AI) and digital literacy. These skills can help a person generate additional income.
"Training programmes such as Technical and Vocational Education and Training (TVET) are also important because they can provide practical skills to the people. Sometimes basic skills such as repairing household appliances are also very useful," he told Bernama.
Prime Minister Datuk Seri Anwar Ibrahim recently advised all parties to manage their spending prudently following the ongoing conflict between Iran with the United States and Israel.
Anwar said he understands the comfort Malaysia is currently enjoying, but the government has a responsibility to remind people that things can change in an uncertain international situation.
Meanwhile, Mohamad Fazli said that apart from improving their skills, people also needed to manage their spending with better discipline and avoid unnecessary expenses.
"Saving does not only mean reducing spending, but also using existing skills to manage life better.
"Sometimes we say we are saving, but at the same time we still spend on unnecessary things such as excessive online shopping," he said.
Mohamad Fazli also reminded consumers to improve their digital financial literacy so as not to be easily fooled by online frauds that are becoming increasingly widespread, especially in challenging economic conditions.
He said in the current digital era, offers of financial assistance or big discounts spread through online links often become traps for unwary consumers.
In this regard, he stressed that improving skills, smart financial management and awareness of digital security must go hand in hand to help the people increase their economic resilience in an uncertain global environment.
-- BERNAMA
