Najib: Budget 2022 would compel the government to borrow more
Malaysia’s Budget 2022, which amounts to approximately RM332.1 billion, is vulnerable to too many possible risks, according to Datuk Seri Najib Razak.
He claims that the government would be compelled to borrow even more money to finance its high spending plans at a time when income estimates remain low.
The Pekan MP criticized the present predicament on decisions made by the previous two administrations after the 14th general election in 2018.
According to Najib, the two largest prior government wrong decisions were the abolition of the Goods and Services Tax (GST) and the poorly planned lockdown measures to combat Covid-19.
As a result of its decision to abolish GST, the previous administration increased its reliance on petroleum revenue while chasing away investors by claiming the nation was already bankrupt and authorizing sales of state-owned assets that provided returns to the government, but at the expense of long-term interests. This was a major mistake.
When discussing the Supply Bill (Budget) 2022 in the Dewan Rakyat, Najib said: “And then the enforcement of ‘lockdown’ and movement control orders, among the world’s longest as a result of choices that led to the implementation of ‘lockdown,’ which is half-baked in containing Covid-19.
He said that the present government, led by Prime Minister Datuk Seri Ismail Sabri Yaakob, must bear the burden.
Therefore, he continued, Malaysia’s government finances are now in a risky state.
Malaysians’ finances and way of life have been destroyed, according to Najib, because of the long-term Covid-19 lockdowns.