Wednesday, 16 Dec 2020 03:58 PM MYT
KUALA LUMPUR, Dec 16 — The federal government’s debt to gross domestic product ratio as at end November 2020 was RM818.2 billion or 56.8 per cent, said Finance Minister Datuk Seri Tengku Zafrul Abdul Aziz.“The government’s debt status is statutory-based under the Temporary Measures Act for Government Financing ) Act 830 encompassing the Malaysian Government Securities , Malaysian Government Investment Issues and Malaysian Islamic Treasury Bills .
To Mohd Yusmadi’s original question on the government’s debt related to a mega project that was scrapped by the Pakatan Harapan government, Tengku Zafrul said the present government was obliged to continue with the repayments as set in the agreement.
The last reported figure as official federal govt debt was RM874bil as at 30 Sept equivalent to 60.7% of GDP. Now the govt defines debt as only those related to govt securities issued and hence the number has dropped to RM818bil. This is wrong and misleading.