Malaysia’s opposition will only support the 2021 budget if it really helps people: Anwar Ibrahim

KUALA LUMPUR: The opposition will only support the 2021 budget presented by the government if it really helps the people, Parti Keadilan Rakyat leader Anwar Ibrahim said on Monday (November 9) when starting the budget debate in parliament.

In his speech, he stated that it is unclear how the current budget will help Malaysians amid the COVID-19 pandemic.

“We have been asked to support this budget, which we were told would be a COVID-19 budget intended to help people. Let me clarify that we will only support this budget if it is really that and only that. Therefore, I make a motion for the Minister of Finance to review and re-evaluate this, ”he said.

READ: Malaysia’s economy is projected to grow up to 7.5% next year, says the government while presenting an expansive budget for 2021

This budget, which was presented last Friday, is the first budget of Prime Minister Muhyiddin Yassin’s administration.

Previously it was feared that members of Parliament (MP) would block the approval of the budget and turn it into a vote of no confidence against Muhyiddin. The king had previously urged deputies on both sides of the political divide to support the bill.

Mr Anwar commented on Monday that the budget was “misleading” and claimed it was benefiting cronies rather than the people.

“Yes, I am aware that the king has asked us to support the budget, but his decree does not say support without debate.

“That’s why I urge you to consider all of the following, because unless this 2021 budget really serves to help people, we are not going to support it,” he said.

AMOUNT FOR COVID-19 FUND TOO SMALL

In his debate speech on Monday, Anwar noted that only 5.3 per cent of the RM322.5 billion ($ 78.2 billion) budget went to the COVID-19 Fund.

He was referring to the 17 billion ringgit that Finance Minister Tengku Zafrul Aziz allocated to manage the current pandemic.

Mr. Anwar urged the Finance Ministry to consider increasing the amount to RM36 billion, transferring RM19 billion from development spending to the COVID-19 Fund.

“Only 5.3 percent, it doesn’t make sense, given that the 2021 budget has been called the COVID-19 budget. It was supposed to benefit the people, so this part of the allowance is clearly unreasonable.

“I urge the minister to reconsider and have RM19 billion from the development budget be transferred directly to this fund. Of course, by this I do not mean to stop all developments. All I am saying is that the scale of development could be reduced to allocate more funds for COVID-19 measures, ”he said.

READ: ‘We want everyone’s opinion,’ says Prime Minister Muhyiddin on inclusive approach to 2021 budget

Mr. Anwar explained that the scale of projects like the Pan-Borneo Highway could be reduced.

“I’m not saying we stop these projects, but if the Pan-Borneo highway is scaled down, for example, that money could go to help the people of Sabah and Sarawak manage the effects of the pandemic,” he stressed.

RECONSIDERING THE RETIREMENT FUND WITHDRAWAL LIMIT

On the monthly withdrawal of RM500 from the Employee Retirement Fund (EPF), Mr. Anwar urged the government to reconsider the limit.

“I am aware that Prime Minister Muhyiddin Yassin himself is not very happy about this (permission to retire from EPF) because he feels that the funds should be saved for the future, for after retirement, but what we need to address is that the fact People have resorted to withdrawing their retirement funds, which means that the government has not helped them effectively.

“What it means is that they are so desperate, that they are pressured so much to make ends meet, that they need these withdrawals to help them get through these difficult times,” he said.

READ: Malaysia’s budget for 2021 is the largest in its history. Will it cushion the impact of COVID-19?

Mr. Anwar then added that RM500 was an insufficient amount to help any family, especially those in the lower income groups.

“Therefore, I urge the government to reconsider this limit that has been imposed. More flexibility should be given so that people have better access to their own money, ”he said.

As for the loan moratorium that has been extended for specific groups, the Port Dickson MP said a general extension should be considered and emphasized that banks would not lose money.

“We are sincerely grateful for all the measures announced by the ministry in this regard, but the truth is that it is very limited. It may be difficult for those who earn millions to empathize with those who earn just RM 3,000 a month.

READ: Prime Minister Muhyiddin says the 2021 budget ensures people’s well-being, while Anwar calls for concrete plans to revive the economy

As of November 8, Malaysia has a total of 40,209 COVID-19 cases, of which 11,689 were active.

THE BUDGET MUST BE “MORE REALISTIC”: MAHATHIR

In a Facebook post, former Prime Minister Mahathir Mohamad called for the budget to be changed to make it “more realistic.”

He said the pandemic requires the government to spend more money, but it has also affected government revenues.

Party leader Pejuang wrote: “The question I would like to ask is where the money will come from. The deficit is said to be around 85 billion ringgit. It is bigger than the development budget of 69 billion ringgit ”.

“I guess the government will have to borrow to execute the budget. This is estimated to increase the public debt to RM1.3 trillion. That’s a lot of money. If you fail to service the loans, you may be ruined, ”he said.

He asked that the salaries of deputies and ministers be reduced.

“I think people who earn high salaries in government or the private sector should give up 10 percent of their salaries. It’s a sacrifice, but I don’t think it will hurt them if there is a reasonable limit, say 20,000 ringgit per month. “

The money should be used to provide food for the unemployed and those without income, he suggested.

Dr Mahathir added: “I hope this budget will be modified to be more realistic. Then we can support you. There is no need to bribe us for our support. We do not want to precipitate a crisis ”.

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