KUALA LUMPUR: The recent tabling of the 13th Malaysia Plan (13MP) reflects the government’s commitment to charting a sustainable development path while exercising fiscal prudence to help reduce the national deficit, said Universiti Kebangsaan Malaysia economic analyst, Associate Professor Dr Mustazar Mansur.
He said Prime Minister Datuk Seri Anwar Ibrahim is taking the country’s debt situation seriously, with a clear focus on curbing new borrowings and narrowing the fiscal deficit.
"When the deficit declines, debt levels also fall. We’ve heard the Prime Minister previously speak about limiting new borrowings, and he is clearly committed to avoiding excessive debt,” he said.
Mustazar was speaking as a guest on Bernama TV’s Ruang Bicara programme yesterday, in an episode titled ‘13MP: The People's Socioeconomic Agenda and Hopes’.
According to the 13MP blueprint, ongoing fiscal consolidation efforts are expected to narrow the fiscal deficit to below three per cent of gross domestic product (GDP) and keep the federal debt level under 60 per cent of GDP.
Commenting on the development allocation for Kota MADANI, Mustazar said the initiative reflects a public-private partnership model.
"The government will not spend directly but instead grant concessions to qualified private firms. Hence, not everything announced by the government will involve direct fiscal commitments.
"The government will leverage private sector expertise-firms that are more experienced, willing to take risks, and capable of assessing the viability of projects,” he added.
13MP, tabled by the Prime Minister in the Dewan Rakyat, outlines the country’s development agenda for 2026-2030, with a total allocation of RM611 billion. - Bernama
