Government working to reduce national debt: Malaysia PM Anwar
MUAR – The government is working to reduce the national debt and avoid unnecessary loans to spare future generations, says Datuk Seri Anwar Ibrahim.
The Prime Minister said that while borrowing for development was sometimes necessary, the country must not continue racking up debt irresponsibly.
'Our debt is still high. If we don't pay it back, then who will want to invest in us?
'We want to bring the debt level down and avoid adding new loans because in the end, the ones who will pay for it are our children,' he said during the launch of the 2025 National Month and Fly the Jalur Gemilang campaign at Dataran Tanjung Emas here yesterday.
Anwar also slammed critics who accused his administration of allowing the debt to increase.
'They don't understand. We took a new loan of RM100bil in 2022 to repay earlier borrowings and their interests.
'In 2023, it went down to RM90bil. This year, it is RM80bil. We are reducing it gradually,' he said.
Anwar added that he understood when past leaders like Tun Abdul Razak borrowed from the World Bank to set up the Federal Land Development Authority (Felda) and for rural development.
'If it's that kind of debt, I accept it.
'But if we're talking about taking loans to 'sakau' (plunder), that is what we are fighting against now,' he said, adding that the people should elect leaders who do not plunder the country's wealth for personal or family gain.
He cited the example of a former leader's family member allegedly having RM1.2bil and another with RM4bil.
'I am not vengeful or going after old people. I just want the people's money to be returned,' Anwar added.
He said that while the government does not dismiss the policies of previous leaders, there were weaknesses that needed to be addressed.
'My colleagues and I in the Cabinet are working to improve past weaknesses, whether it's attitude, leadership, or the abuse of power for personal or family gain,' he added.
Separately, Anwar defended the government's decision to reduce petrol prices for Malaysians while requiring foreigners to pay market rates, saying he was 'Prime Minister for Malaysians, not for foreigners'.
He said critics had claimed the move was unfair to foreigners, arguing that they also contributed to the country.
'They do not pay income tax here. No country in the world will allow foreigners to enjoy such benefits as locals,' he added.
Anwar said that the six sen reduction to RM1.99 would make petrol prices in Malaysia much lower than Singapore, Thailand and Indonesia.
'Foreigners can buy petrol at RM2.50 or RM2.60,' he said.
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