Photo taken from thestar.com.my
By Selangor Journal Staff
KUALA LUMPUR - Finance Minister Lim Guan Eng confirmed that Malaysia has settled the RM208.8mil (US$50.3mil) interest payment for 1MDB Energy (Langat) Ltd today.
“This year alone, Malaysia has so far paid RM1.688bil in interest payments on 1MDB loans.
“This is what the government and the rakyat have to bear,” he told reporters at the Parliament lobby on Thursday (Oct 18).
The government has two more interest payments to make in this regard by the end of this year – RM217.51mil (US$42.4mil) on Nov 11 and RM153.75mil sukuk Islamic Medium-Term Notes.
Lim said that the government will fulfil the commitment that they made at the international level, and Malaysia will not default on interest payments.
“If Malaysia went into default, it would not only affect our international reputation but also our status with ratings agencies,” he said.
Lim said the scandal-ridden state-owned investment fund had hurt the country's image and finances.
“We are known as the world champion of kleptocracy. It has hurt us financially and also our image,” said Lim.
He also said then that the failure to honour any debt obligations linked to 1MDB would result in a default by the government and cause other negative implications, including on the country’s ratings.
