M’sian PM hits out at ‘enemies trying to destroy country’s image’

KUALA LUMPUR — Malaysian Prime Minister Najib Razak yesterday hit out at “enemies” of the country who he said are trying to bring the country down, even as the government works hard to serve the people.

“Talking about how hard it is to build our beloved Malaysia, we are disappointed. In fact, we feel very disappointed with the irresponsible actions of enemies within and outside who are trying to destroy the country’s image,” said Mr Najib in parliament yesterday at the tabling of the budget as he sought to rally support for his scandal-hit administration.

He added that the Barisan Nasional government works tirelessly for the welfare of the people, and that the development and progress enjoyed so far was not built in a short period of time.

“To us, the actions of these parties will only cause chaos, until they destroy what we have built so far.”

Mr Najib yesterday also took pains to defend unpopular policies, such as the implementation of the goods and services tax (GST) this year.

He said the opposition, which initially disagreed on the consumption tax, was now supportive of it and even included it in its alternative budget unveiled two days ago. To prove his point, he held up a copy of the opposition coalition Pakatan Harapan’s alternative budget.

Despite Mr Najib’s bravado, opposition voices came fast and furious on the back of yesterday’s budget, as lawmakers sought to cast doubt on the legitimacy of his administration by demanding accountability for various scandals during his budget address.

The embattled Prime Minister is facing accusations of corruption after The Wall Street Journal reported on July 3 that about RM2.6 billion (S$860 million) may have moved through government agencies and state-linked companies to accounts bearing Mr Najib’s name before elections in 2013. The Premier has denied taking money for personal gain and has described the furore as part of a campaign to remove him from office.

In parliament, opposition lawmakers held up placards with the words “Mana RM2.6 billion?” (“Where is the RM2.6 billion?”).

Parti Keadilan Rakyat (PKR) Member of Parliament (MP) Rafizi Ramli said the budget did not touch on core matters such as the confidence crisis faced by Mr Najib. “You can work out whatever numbers you want for next year, and you can present in this budget howsoever you want to distribute the numbers. But, without credible leadership, the economy is going to tumble and it is unlikely many of the projections will be achieved,” he said.

“For all the language of bravado peppered in the entire budget speech, Mr Najib failed to deal with the key issues, which has shattered domestic and international confidence in his administration,” Democratic Action Party MP Tony Pua said in a statement following the speech.

Mr Pua referred to massive losses at sovereign wealth fund 1Malaysia Development Berhad (1MDB) and the donation to Mr Najib’s accounts as “massive elephants in the room”.

Mr Pua added that Budget 2016 would only burden Malaysians, particularly those from the middle and lower income groups, as RM39 billion of the GST will have to be levied to compensate for the RM17.5 billion lost from oil and gas revenues due to a slump in global energy prices.

“In comparison, the sales and services tax collected in 2014 amounted to only RM18 billion. This means that Malaysians have to suffer an increase in taxes by a whopping RM22 billion.”

While the government continued to add burden on the people, it has failed to increase prudence on its own expenditure, Mr Pua said.

Second Finance Minister Ahmad Husni Hanadzlah refuted claims that the budget should have addressed concerns about losses at 1MDB.

“This is the budget, nothing to do with 1MDB. What has 1MDB got to do with the budget?” Mr Husni.

He also said revenue from the GST will not be enough to mitigate low oil prices, and that was why the government had to rely on corporate and individual taxes. AGENCIES