This news caught my eye. It seems that Lim Guan Eng is back to his lying ways. It seems Lim Guan Eng will never stop lying in order to make himself look good. This is pitiful and not to mention pathetic.
KUALA LUMPUR, Jan 11 — Massive borrowing and irresponsible spending by the Barisan Nasional (BN) government will result in Malaysia becoming a fully indebted nation before the end of the decade, Lim Guan Eng said today.
The Penang chief minister said that Putrajaya’s debt to Gross Domestic Product (GDP) ratio has increased yearly from 53.1 per cent in 2010 to 53.8 per cent last year and is expected to hit 54.8 per cent this year.
Lim’s remarks are in response to a statement by Malaysian Institute of Economic Research (MIER) distinguished fellow Mohd Ariff Abdul Kareem, who warned that federal government revenue was growing too slowly to keep up with its borrowings which hit 53.1 per cent of GDP in 2010.
Mohd Ariff told The Malaysian Insider recently that Malaysia’s national debt will hit 100 per cent of the GDP by 2019 should Putrajaya continue to borrow more than it earns. He said while the current size of government debt relative to GDP was not troubling, the pace of its growth in recent years was cause for concern.
Lim added that a stagnation in salaries, coupled with increased prices for basic commodities such as sugar, eggs, and bread, will further result in Malaysians becoming even more debt-laden.
The Bagan MP said that MIER’s projections that Malaysia could end up becoming bankrupt by 2019 showed the need for new federal government, one that should be led by Pakatan Rakyat (PR).
He said that PR has successfully “managed” finances in states such as Penang.
“Penang managed to reduce (its) state debt from RM630 million in March 8, 2008 to only RM30 million as at end of October 2011. This represents a debt reduction of 95 per cent, or RM600 million, which is the highest debt reduction of any state in Malaysia’s history.
“Clearly, Malaysians who wish to have a better life for themselves and their future generations must make a choice between a government that is spendthrift and that borrows irresponsibly without being able to make the pie grow bigger, or a government that is prudent and transparent that will put the concerns of the rakyat first,” Lim added.
Even that so called fellow from MIER do not know what he is talking about. This blog and fellow bloggers SatD and economist HishamH had time and time again exposed Lim Guan Eng and his tendency to lie outright to the public.
In Lim ‘The Empty Can’ Guan Eng, we had already exposed the fact that the debt of Penang was lessened not due to his remarkable leadership but because Federal Givernment had taken over the RM600 million debt from Penang and graciously change its status into a 45 year grant. That is how it became RM30 million. Down 95%.
It is not rocket science. Instead of thanking the Federal Government, this so called accountant turned chief minister had the audacity to chastise them further.
He even got it wrong on Bernas a few days ago! How many times do you want to lie Guan Eng?
As for all the mumbo jumbo dished out by that MIER fellow, his arguments has been pre-empted, dissected and crushed by HishamH in his FAQ on National Debt.
I WISH ALL OPPOSITION LEADERS AND THEIR SYCOPHANTS TO REALLY KNOW YOUR FINANCES AND ECONOMICS STUDIES BEFORE OPENING THEIR MOUTHS.
We surely do not want another simple case of not knowing how to calculate an average of inflation rate.
P.S. To understand Lim Guan Eng and his lying ways, please read them here.