US$7 bln deal proves M’sia not on the verge of bankruptcy – PM
KUALA LUMPUR: Saudi Aramco’s US$ 7 billion investment in the Petronas Pengerang Integrated Complex in Johor, is a major testament that Malaysia is not on the verge of bankruptcy.
Prime Minister Datuk Seri Najib Tun Razak said it was impossible for the Saudi Arabia state- owned oil company to commit to such a large investment in a country that was going bankrupt.
“I raise this question because, as you know, there has been a lot of fake news lately. Unfortunately, the government’s opponents here in Malaysia often prefer not to engage with us on the facts.
“They create false propaganda – like the idea that this is a state on the verge of bankruptcy – some of which sadly gains traction internationally,” he said in his keynote address at the 2017 Global Transformation Forum here yesterday.
He ticked off such action as nothing less than economic sabotage for selfish, personal political gains which would affect all Malaysians.
“The Aramco deal was almost wrecked by such fake news. After all, many would not expect a former leader to tell lies about his own country.
“So when he tells people that Malaysia is facing bankruptcy, some believe him. In fact, he knows he is telling lies,” said Najib, who is also the Finance Minister.
He said the truth was, however, the opposite, with millions of jobs created, strong and consistent growth, as well as, low inflation and unemployment, in addition to the reduction in fiscal deficit to 3.1 per cent last year from 6.7 per cent in 2009.
I raise this question because, as you know, there has been a lot of fake news lately. Unfortunately, the government’s opponents here in Malaysia often prefer not to engage with us on the facts.
“PIC ( Petronas Pengerang Integrated Complex) is very important for us, and that US$ 7 billion (investment) shows you the confidence Saudi Arabia’s state- owned oil company has in Malaysia.
“It will be a huge engine of growth in one of the world’s busiest shipping lanes, and at the gateway into the Asia-Pacific, the most thriving region on the planet with over 60 per cent of the world’s population,” he said
The investment would also provide training and jobs for locals, lead to the development of auxiliary industries, spur entrepreneurship and be a huge boost to human capital and to the knowledge economy, Najib said.
Najib said that other countless measures have also been put in place to ensure continued transformation into an innovative, knowledge-based economy, with sustainability and inclusivity at its core.
However, Najib said that there were still some downside risks and challenges, such as managing household debt, the need to improve productivity and move up the value chain, and the problem of household savings not being sufficient to last people’s lifetime. — Bernama
Datuk Seri Najib Tun Razak, Prime Minister