‘China understands our fiscal problems’
I believe Beijing understands the fiscal woes KL needs to resolve, says Dr M
PRIME Minister Tun Dr Mahathir Mohamad is seeking Beijing’s understanding over Malaysia’s internal fiscal woes, as well as its help, to resolve these problems.
Speaking at a joint press conference with Chinese Prime Minister Li Keqiang, Dr Mahathir
said he was pleased with China’s commitment to increase imports of Malaysian goods, especially palm oil.
Dr Mahathir expressed confidence that China would sympathise with the problems faced by Malaysia.
“I believe China understands the internal fiscal problems that Malaysia needs to resolve, and we hope that they (China) can help solve them,” he said.
Dr Mahathir had previously said that the government was studying the possibility of cancelling or reviewing two mega projects, which are funded by China.
The two projects are the East Coast Rail Link (ECRL) and the Trans-Sabah Gas Pipeline.
It was claimed that the two projects,
especially the ECRL with its supposed RM81 billion price tag, approved by the previous government, would saddle the country with greater debts.
Dr Mahathir, who is on a fiveday official visit to China, stressed the importance of a good working relationship between Malaysia and China.
However, he believed that it needed to be expanded to other areas apart from trade.
“China has many great entrepreneurs and innovators with new business ideas which can be implemented in Malaysia.
“We will send our people to study how these ideas can be applied in industries and trade.”
He said Malaysia could also learn from China how to resolve the issue of poverty.
“What is impressive is that although China is a huge country with a large population, it does not face poverty problems.”
He hoped that Malaysia could serve as the Southeast Asian hub for new technologies developed by China.
Dr Mahathir and Li witnessed the signing of four memoranda of understanding (MoU) involving agencies of both countries.
The first MoU was between the Agriculture and Agro-based Industries Ministry and China’s Administration of Customs on the protocol of inspection and quarantine requirements for the export of frozen durians from Malaysia.
The second MoU involved the Malaysian Palm Oil Board and Tsinghua University on the development of technology and promotion of palm oil-based fuel.
The third MoU was between the Malaysian Rubber Board, Hainan State Farm Bureau and Hainan State Farm Investment Holdings Group Ltd on a technological partnership on road bitumen and automation of rubber tapping.
Bank Negara inked a continuation agreement with the People’s Bank of China on the exchange of foreign currency.
Meanwhile, Bernama reports that there will be no changes in policy on China under the
new government.
Dr Mahathir gave this assurance when meeting Chinese President Xi Jinping at the Diaoyutai State Guest House here yesterday.
“We’re here to assure the Chinese government and its people that there will be no change of policy,” the prime minister said.
He took the opportunity to point out that Malaysia adopted a friendly stance towards other friendly countries.
He also said China had been a long-standing trading partner of Malaysia.
Dr Mahathir told Xi that he was impressed with the level of development achieved by China.
“We see China as a model for development.”
Page 1 pic: Prime Minister Tun Dr Mahathir Mohamad, accompanied by his wife, Tun Dr Siti Hasmah Mohd Ali, with Chinese President Xi Jinping and his wife, Peng Liyuan, at the Diaoyutai State Guest House in Beijing yesterday.