PETALING JAYA: MCA urges Lim Guan Eng to stop blaming the former Barisan Nasional administration for the country’s economic shortfall.
MCA Youth deputy chairman Tan Chee Hiong (pic) said the Finance Minister should instead focus on the nation’s inability to pay off debts.
He said what Lim needs to worry about is that in the current state of reduced income, the Pakatan Harapan government’s national debt is still growing.
“What comes next is the real challenge,” he said in a statement Thursday (Oct 17).
“However, Guan Eng continues to insist on blaming the former government for the purported RM1 trillion debt after Pakatan took office,” he said.
He said Pakatan’s move to abolish the Goods and Services Tax (GST) has lead to an RM20bil shortfall in the government’s coffers during an economic downturn.
Additionally, government loans totalling RM62bil, including the government and samurai bonds from Japan, is higher than the previous administrations’ debts, he said.
“This figure is steeper compared to Barisan’s administration, which at the end of 2017, national debt was recorded at RM686.8bil,” he said, adding that national debt has surged in excess of RM1 trillion.
“In a scenario where there is a sharp decline in national income, to be in debt continuously is of major concern,” he said.
He added that the government relies too much on borrowing instead of boosting the economy.
Tan also said the advocacy of bumiputra-centric policies was worrisome as the unfriendly business environment led to the outflow of foreign capital and investments to other countries.
He said this resulted in less than optimistic prospects on the nation’s economy. -The Star