Impossible to achieve surplus budget in future: Ahmad Maslan

KUALA LUMPUR – The country is unlikely to ever record a surplus fiscal budget in the future, as witnessed during Datuk Seri Anwar Ibrahim’s first stint as finance minister in the 1990s, the Dewan Negara was told.

This is owing to the extremely high direct debt incurred by the federal government, which currently stands at a staggering RM1.078 trillion, Deputy Finance Minister Datuk Seri Ahmad Maslan said when addressing the upper house today.

The last time the government’s fiscal budget remained in surplus was in 1997, when Anwar served as deputy prime minister and finance minister. He is currently prime minister while also taking up the finance portfolio for the second time.

“During a briefing with the Bank Negara governor (Tan Sri Nor Shamsiah Mohd Yunus) and the finance minister last Thursday, I was asked what is the ideal fiscal deficit.

“Before the governor could answer, the finance minister replied saying there is no ideal number.

“I then responded saying that the finance minister’s effort to achieve a balanced budget like he did when served the ministry (in the 1990s) is near impossible in the future,” he said.

“This is because of the federal government’s direct debt. I would like to state here that the figure is now at RM1.078 trillion.” – The Vibes