Posted by newbie911 > 2018-06-23 17:26 | Report Abuse

Now klci akr below 1700...
Mahathir and lge happy mayb.

Posted by apolloang > 2018-06-23 17:47 | Report Abuse

good job cleansing all the crooks out,also many insider trading and manipulating in bursa stocks not yet being investigate

Posted by bagan > 2018-06-23 17:57 | Report Abuse

No longer under mof, now under azmin economic planning ministry oredi, fm only book keeper la hahaha then got scold for announcing ngeh to be minister that's he was sobbing during PC yesterday hahaha

Posted by hit & run > 2018-06-23 19:59 | Report Abuse

We dun mind the truth but it shd be taken into consideration for the impact on the market. Done is done so the debt is not 1cent lesser and we also didnt see anyone is charged for this. Hence why cant ph manage it themselves and wait until at least there is solution or the debt is under controlled then only announce publicly.

Posted by curious2 > 2018-06-23 20:27 | Report Abuse

After reveal actual debts is our stock market getting better?

Posted by DreamMaster > 2018-06-23 20:41 | Report Abuse

The debt is still the same. Only, Mr. LooseMouth LooseCannon is using different accounting system to make previous admin look bad.

When he was in Penang, he was using a different accounting system to make Penang finances under his admin look fantastic.

Now that is in Putrajaya, he is using a different accounting standard to make previous Fin Min look bad.

Posted by DreamMaster > 2018-06-23 20:43 | Report Abuse

Better switch him with azmin ali. azmin will do a much better job as fin min than him.

Posted by ABCnewbie > 2018-06-23 21:10 | Report Abuse

Let's compare Moody reports (Dec 2017 Vs Jun 2018)

Singapore, June 13, 2018 -- Moody's Investors Service has just published a report analyzing the implications of the new Malaysian government's (A3 stable) policies on the sovereign's credit profile.

The transition of power in Malaysia — following elections in May — away from the incumbent party that led the country for more than six decades has introduced some policy uncertainty.

On the question of which of the new government's policies will affect the sovereign's credit quality, Moody's explains that, while it will examine any new policies holistically to gauge their impact on the credit profile, in the case of Malaysia, fiscal measures are a particular area of focus, given that the country's high debt burden acts as a credit constraint.

Consequently, to what extent the new government achieves fiscal deficit consolidation will be vital in gauging the eventual effects on Malaysia's fiscal metrics and credit profile.

Moody's analysis is contained in its just-released report titled "Government of Malaysia: FAQ on credit implications of the new government's policies".

On whether or not there has been a change in Moody's assessment of Malaysia's debt burden, the report says that the rating agency maintains its estimate of Malaysia's direct government debt at 50.8% of GDP in 2017. Its assessment of contingent liability risks posed by nonfinancial sector public institutions has also not changed following some statements by the new government.

However, the new administration's treatment of large infrastructure projects that may be placed under review but have benefited from government-guaranteed loans in the past, and outstanding debt from state fund, 1Malaysia Development Berhad (1MDB, unrated), will play an important role in determining risks that contingent liabilities pose to the credit profile.

As for the impact of the new government's removal of the country's goods and services tax, Moody's says that in the absence of effective compensatory fiscal measures, this development is credit negative because it increases the government's reliance on oil-related revenue and narrows the tax base. Moody's estimates that revenue lost from the scrapped tax would measure around 1.1% of GDP this year — even with some offsets — and 1.7% beyond 2018; further straining Malaysia's fiscal strength.

Moody's views the targeted reintroduction of fuel subsidies as credit negative because subsidies distort market-based pricing mechanisms, and could strain both the fiscal position and the balance of payments while raising the exposure of government revenue to oil price movements.

With regard to the growth outlook, Moody's says that the change in government will not materially alter growth trends in the near term. The removal of the goods and services tax could boost private consumption in the short term. However, a review of large infrastructure projects could also result in any pick-up in investment being more spread out than Moody's had previously anticipated.

Subscribers can access the report at:

http://www.moodys.com/viewresearchdoc.aspx?docid=PBC_1126100

Posted by ABCnewbie > 2018-06-23 21:12 | Report Abuse

Singapore, December 13, 2017 -- Moody's Investors Service ("Moody's") says that the Government of Malaysia (A3 stable) demonstrates a relatively high but stable government and household debt burden. Malaysia is also exposed to a potential sharp and lasting negative change in external financing conditions, given the country's reliance on foreign financing. Nevertheless, its resilient economic growth, deep domestic capital markets, large international asset position and large export proceeds mitigate the sovereign's vulnerability to sudden shocks.

Moody's analysis is contained in its recently released report titled "Government of Malaysia: FAQ on credit resilience to high leverage and external vulnerability risks".

Moody's report answers the five questions below:

1) Do you expect fiscal trends to improve?

2) Do government guarantees present material contingent liability risks?

3) Is Malaysia vulnerable to external conditions?

4) Are strong growth trends likely to be sustained?

5) Does household debt present challenges to macro-financial stability and growth?

On fiscal trends, Moody's does not expect Malaysia's fiscal trends to improve significantly. The agency explains that fiscal consolidation has slowed since 2014 and absent any meaningful revenue-raising measures, further material progress is unlikely.

The deficit will narrow from 2.8% of GDP in 2018, as and when strong nominal GDP growth boosts revenues. As a result, the debt burden will likely stabilize around the current levels (50.9% of GDP in June 2017), significantly higher than the A-rated peer median of 40.5% at year-end 2016. Debt affordability will remain constrained by a narrow revenue base.

With government guarantees, Moody's says that such guarantees are unlikely to present material contingent liability risk, because they are issued through a stringent selection process and most companies that benefit from them are profitable and competently managed. At the end of 2016, the total debt of non-financial public sector corporations stood at 16.6% of GDP, two-thirds of which was guaranteed by the government.

Moody's points out that Malaysia's reserves are insufficient to meet maturing external long-term debt repayments and short-term debt. Nonetheless, a sizeable net asset position, large export proceeds, and deep domestic capital markets moderate external vulnerability.

Moody's also says that Malaysia will be able to maintain its strong growth trends. In particular, the country's highly diversified and competitive economic structure underpin stable and relatively robust growth trends that have proven to be resilient to external headwinds. The economy's long-term potential growth should stay robust at around 5.0%, which would be significantly stronger than most other A-rated sovereigns.

On the issue of whether household debt presents challenges to Malaysia's macro-financial stability and growth, Moody's says that at 84.6% of GDP at the end of September 2017, Malaysia's household debt levels — while stable — pose downside risks to growth. Nevertheless, such debt does not pose material threats to financial stability. Households have large liquid financial assets to buffer the impact of a potential shock to debt servicing capacity. Moreover, ongoing macroprudential measures will help contain potential further increases in debt.

Subscribers can access the report at:

http://www.moodys.com/viewresearchdoc.aspx?docid=PBC_1103442

Posted by Christine Chen > 2018-06-23 21:17 | Report Abuse

WELL SAID!

Posted by ABCnewbie > 2018-06-23 21:42 | Report Abuse

And lastly, see BNM latest report (Jun 2018) below:

Central Government Debt (Q1/2018)
Current liabilities, total RM million: 705,014
Short-term debt, RM million: 10,500
Medium-and long-term debt, RM million: 694,514

Domestic debt, RM million: 499,501
Short-term debt, RM million: 5,609
Medium and long-term debt, RM million: 493,892

External debt, RM million: 205,513
Short-term debt, RM million: 4,891
Medium and long-term debt, RM million: 200,622

External debt by currency:
RM, RM million: 189,570
USD, RM million: 10,453
Yen, RM million: 5,218
Other, RM million: 272

Debt guaranteed by Federal Government, RM million: n.a.

Gross External Debt, RM million: 893,409

Compare for 2017:
Central Government Debt
Current liabilities, total RM million: 686,838
Short-term debt, RM million: 4,500
Medium-and long-term debt, RM million: 682,338

Domestic debt, RM million: 484,084
Short-term debt, RM million: 1,169
Medium and long-term debt, RM million: 482,916

External debt, RM million: 202,753
Short-term debt, RM million: 3,331
Medium and long-term debt, RM million: 199,422

External debt by currency:
RM: RM million: 186,186
USD: RM million: 10,988
Yen: RM million: 5,286
Other: RM million: 293

Debt guaranteed by Federal Government, RM million: 238,024

Gross External Debt, RM million: 879,768

Posted by EasyInvest123 > 2018-06-23 22:07 | Report Abuse

1.Bank negara cash reserve 430billion

2. Petronas worth 800billion with cash reserve 160billion.

3. EPF as 31 Dec 2017 worth 791billion with 2billion collection every month...5 yrs later fund size can hit 1trillion.

4.PNB fund size about 280billion

5.Khazanah fund size 120billion

Total 430+800+791+280+120billion= 2.42 trillion asset

Posted by EasyInvest123 > 2018-06-23 22:08 | Report Abuse

Not yet count Kwap,Tabung Haji, Angakatan tentera,socso fund n others land and infrastructure asset...

Posted by EasyInvest123 > 2018-06-23 22:08 | Report Abuse

1 trillion debt sap2 water to pay off immediately

Posted by EasyInvest123 > 2018-06-23 22:17 | Report Abuse

Our government onli talk liability without mention asset. Nonsense n misleading!

Posted by relaks > 2018-06-23 22:22 | Report Abuse

Vely gud wat? No?
Ini lagi best.
Debt guaranteed by Federal Government, RM million: n.a.
No gud arh....

Posted by TrippleZ > 2018-06-23 23:44 | Report Abuse

LGE using debt issue to stop and review projects causing uncertainty. And government wealth distribution to rakyat concept (populism) is not beneficial to investment

Posted by VenFx > 2018-06-23 23:59 | Report Abuse

2 major burdencost on every Malaysian 0% Gst and Fuel fixed price has been pan out.
PH has cushioned most middle income family.

If, a furthur success to bring those corruption doing official will celebrate at padang Merdeka.

Posted by Valuespec > 2018-06-24 00:27 | Report Abuse

What LGE doing is like a doctor keep telling his patient how severe is her cancer but provides no treatment solution.

After all they are just politicians trying to gain popularity by exaggerating the national debts.

Posted by qqq3 > 2018-06-24 01:46 | Report Abuse

I think LGE has done a great job....interpretations and opinions up to you.

Posted by qqq3 > 2018-06-24 01:48 | Report Abuse

choices and decisions made...I have no problem...TRX, MRT 2, HSR....etc.....I don't even mind paying GST.

Posted by CharlesT > 2018-06-24 05:48 | Report Abuse

Posted by qqq3 > Jun 24, 2018 01:46 AM | Report Abuse

I think LGE has done a great job....interpretations and opinions up to you.


A great job?

It's just some political gimmicks or kitchen sinking exercise...so from next year onwards things will only look good

Posted by bagan > 2018-06-24 08:27 | Report Abuse

If u don't grow the economy this year, next year we'll be in recession

Posted by DreamMarauder > 2018-06-24 08:36 | Report Abuse

Okay, we'll gv Mr. LooseMouth LooseCannon three more months. If he can't shape up as a business promoting, market friendly Fin Min, then Pakatan Harabull had better start thinking seriously about shipping him out. Before he begins making an even bigger mess of an economy already doing quite well, with his ridiculous business retarding & market stunting outdated economic doctrines.

Posted by ABCnewbie > 2018-06-24 08:38 | Report Abuse

My take on this debt issue:
1) To define all liabilities which require payments of principal and interest (short term and long term)
2) To ensure ability to pay (based on revenues collected).
If you look at BNM table, it is just data. So that's why Moody or any other analyst will try to interpret and give their opinions. However based on recent history, those opinions either biased or way of the accurate assessments. So Finance Ministry should look into re-define the above and report separately from BNM (since BNM is independent from government).
It is paramount for any government to be honest and transparent on the debt. If they only give simple assessment (like the debt is way below 55% threshold), it will be very misleading and the consequences will be catastrophic. In 2017, Malaysia paid 28.9 billion ringgit in service debt charges! (In 2018, projected to reach 30.9 billion ringgit)
So the main task is to ensure reduction of debt and the service debt charges will not increase the budget deficit. Malaysia should avoid deficits in favor of a balanced budget policy. Take note that previous government always used “fiscal deficit”. (A fiscal deficit occurs when a government's total expenditures exceed the revenue that it generates, excluding money from borrowings. Deficit differs from debt, which is an accumulation of yearly deficits)
I am waiting for new government budget to see if they look into balanced budget and reduction of debt. Be transparent on the soft loan from Japan if it is used to pay the existing debt and how much is the reduction of the service debt charges! Previous government policy of increasing debt and using fiscal deficit to “hide” the debt borrowing must be stopped.

Posted by miker > 2018-06-24 08:53 | Report Abuse

The debt for something is OK. The debt for nothing, that is the issue. Just need to pay debt with interest, then we got nothing, just thin air.

Posted by enning22 > 2018-06-24 08:54 | Report Abuse

LGE states national debt one trillian ,that figure not wrong,but national asset looks reasonable, so the country not going bankrupt, as many would like to worry.With big debt at hand , so there is a strong need to cleanse the corrupted officials,and their many stupid projects,and people would support this policy,there we witness before us ,may be statecraft of the best kind.

Posted by egearcentral > 2018-06-24 09:13 | Report Abuse

Hidden debt is better to be exposed as early as possible. Imagine if this is exposed 30 years later with new hidden debts added every year with compounded interests.

Posted by lotsofmoney > 2018-06-24 09:44 | Report Abuse

If you include the debt of all the major banks, Petronas, MISC, MAS etc, the total debt will be much much more.Mas is a good example. When it collapsed, who had to bail it our. We , the Rakyat's money of course.

Posted by DreamMarauder > 2018-06-24 09:46 | Report Abuse

What Rakyat money. All money = rakyat money gah. If lai dat one, tomorrow you can go to bank & just ask for it lor.

Posted by moneypedia > 2018-06-24 10:00 | Report Abuse

if you really sincere, not just revenge, not just hatred, not just political rivalry, as finance minister you must show all the debt transparent on it and must show all the assets and transparent on it...now we know what this new government is....

Posted by EasyInvest123 > 2018-06-24 10:07 | Report Abuse

If u include the asset of all banks, Petronas, tenaga, Telekom or GLC the total asset is a lotsssss...they can sell off double or tripple from current market value... overall government still very rich

Posted by SarifahSelinder > 2018-06-24 10:08 | Report Abuse

Smart Jho Low has found Moody's senang jer ditipu tu la dia set up 1MDB.

Hutang naik but debts x naik according to Moody's. Win Win

Posted by SarifahSelinder > 2018-06-24 10:10 | Report Abuse

Tertipu jugak nama felicity ni now going down the drain

Posted by joetay12 > 2018-06-24 10:13 |

Post removed.Why?

Posted by joetay14 > 2018-06-24 10:15 | Report Abuse

.....

Posted by EasyInvest123 > 2018-06-24 10:16 | Report Abuse

Wat ever is past is history, government need put corruption guy into jail bring justice to table.... not politicized pass issues every day.... better save energy to put more effort improve economy

Posted by joetay14 > 2018-06-24 10:18 | Report Abuse

hmmm......

Posted by joetay17 > 2018-06-24 10:21 | Report Abuse

interesting......

Posted by joetay17 > 2018-06-24 10:22 | Report Abuse

but the question is even if it is not in the federal books as bonds, shld implicit guarantee be counted.

Posted by DreamMarauder > 2018-06-24 10:58 | Report Abuse

Malaysia government is rich. Malaysia people are rich. Malaysia GDP per capita increased by nearly 50% in the last decade.

Only new wonderboy Mr. LooseMouth Fin Min crying wolf & exaggerating country debt every day to show off how so called 'smart' & how so called 'clever' he is. When all the while when he was in Penang he was massively under-reporting Penang debt with a different accounting system.

Posted by EasyInvest123 > 2018-06-24 11:44 | Report Abuse

LGE say every new baby born immediately carry 30k++ debt frm 1 trillion. But our country asset more than 2 trillion mean baby olso carry 60k++ asset?? How come didn't mention this?

Posted by CharlesT > 2018-06-24 11:52 | Report Abuse

LGE only see liabilities in bal sheet ...forgot to see asset...

Posted by ABCnewbie > 2018-06-24 11:57 | Report Abuse

To all who talk about asset as ability to pay debt. What is the difference between Najib's rationalisation plan on 1MDB?

Posted by ohbeeyee > 2018-06-24 11:58 | Report Abuse

The RM30k debt must be borne by every Msian , include baby, the Federal govt is obligated to pay up, BUT the RM60 Avg asset, is not control directly by Federal govt, rakyat has no direct claim/access to these wealth , thts the difference.

Posted by ohbeeyee > 2018-06-24 12:01 | Report Abuse

Unless you want to follow Najib’s style, to lelong the country’s asset, land & resources...

Posted by moneypedia > 2018-06-24 12:02 | Report Abuse

not all say that, assets need to be said for balancer/transparency to prevent from nervous reaction from investors...meaning say the truth, bad and good, if not now we assume it just revenge politics....PH future = BN

Posted by EasyInvest123 > 2018-06-24 12:08 | Report Abuse

Asset vs debt is compulsory to look into b4 investment..... if we J's look at public bank or genting group debt itself then is very high... but after u look at their asset u got balance up...same apply country or individual

Posted by EasyInvest123 > 2018-06-24 12:12 | Report Abuse

Petronas worth 800billion own by who?
Bank negara cash reserve 430billion own by who?

Answer is government body. Both add up Ady more than 1 trillion

Can government sell Petronas or utilize bank negara cash?

Posted by chinaman > 2018-06-24 12:19 | Report Abuse

Make a mountain out of a molehill