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TO many quarters now, any talk of a recovery from Covid-19 would seem like fluff.

For almost two years, the world and Malaysia in particular have been mired in a pandemic that seems to be neverending, with many stops and starts of movement control orders (MCOs).

The damage caused by the virus outbreak has not only affected lives, but has also cost hundreds of billions of ringgit in losses for the Malaysian economy.

Even if there were to be a recovery, some industries will never be the same again, such as food and beverage, hospitality and perhaps even manufacturing and plantations, the two staple economic growth drivers of Malaysia.

New norms will likely see more automation and less head count, and even when the latter is involved, they would be required to have workplace and living premises that have much higher standards to curtail any future disease outbreaks.

To optimists, though, there is some interesting data which could point towards some level of recovery, which the government is also banking on – phase four of the National Recovery Plan (NRP).

Phase four, being the last phase of the NRP, will enable the total reopening of the economic and social sector.

Earlier this week, Prime Minister Tan Sri Muhyiddin Yassin said most states are expected to transition to phase four of the NRP as early as October, given the continuous efforts to push the recovery process and immunisation programme.

Despite a slow start to vaccinations, as criticised by some quarters, the pace of the national inoculation programme has picked up over the past several weeks.Williams: The economy will not start to pick up until the first quarter of 2022.

The first milestone of success is Labuan, which is the first place in the country to achieve herd immunity against Covid-19.

The federal territory has immunised 54,800 of the 68,500 adults listed as eligible for the National Covid-19 Immunisation Programme (NIP).

Not only that, as of July 29, the infectivity rate or the R-naught rate in Labuan was recorded at 0.68, much lower than the national rate of 1.15.

The lower infectivity rate, as a result, has significantly brought down daily cases to the below-20 range in the past several days, from over 100 cases just in June this year. The Covid-19 Labuan Field Hospital is also ceasing operations, with the positive turnaround in the Covid-19 situation on the island.

Given the reduction in cases and the success in achieving herd immunity, there have been increasing calls for Labuan’s economic sectors to be reopened.

The government plans to replicate the “Labuan success” across the country through vaccinations. By October, the government aims to get all adults in Malaysia fully vaccinated.


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