Najib: China offered us the best deal in ECRL project

Replica of trains for the East Coast Rail Link project are shown to the public at the Expo Terengganu 2018. -Bernama filepic

KOTA BARU: Malaysia engaged China to build the East Coast Rail Link (ECRL) because it offered the best deal, including a seven-year relief from servicing the loan, said Datuk Seri Najib Tun Razak.

The caretaker Prime Minister said the China-based bank also offered the lowest interest rate.

"For seven years, there is no need to service the loan. By then, the ringgit would have appreciated, and the interest would be almost negligible," he said at the ECRL Tunjung base camp ground-breaking ceremony on Wednesday.

Also present was MCA president Datuk Seri Liow Tiong Lai.

Najib said the proposal by Pakatan Harapan to cancel projects signed with China, should the latter win GE14, will result in Malaysian contractors and consultants suffering losses.

"This project has given opportunities to 237 local consultants, suppliers and sub-contractors to secure projects worth RM1.4bil. What would happen to them if the ECRL project is scrapped?

"This project will also directly and indirectly create 80,000 jobs, 70% of which are allocated to locals," he said.

The ECRL project, covering 688km from Port Klang in Selangor to Tumpat in Kelantan, is a big-ticket infrastructure project set to change the face of the east coast.

MRL is the special purpose vehicle under the Minister of Finance Incorporated tasked as the project owner.

The ECRL is expected to be completed in June 2024.

The ECRL is seen not only to be able to change the economic landscape of east coast states, including Pahang, and spur development, but also change the social structure, especially of the rural areas.

For example, those who live in Bentong can reach Kuala Lumpur in about 25 minutes with the ECRL.

Meanwhile, MRL chairman Tan Sri Dr Mohd Irwan Serigar Abdullah said the ECRL project was progressing ahead of schedule in Kelantan, Terengganu and Pahang because of strong support from the respective state governments.

Najib also attended a gathering with Ketereh folk at Yayasan Kemiskinan Kelantan premises in Kampung Wakaf Yok Wali.

He also attended the MRSM Ulul Albab and Giat Mara PR1MA ground-breaking ceremony in Kampung Padang Salim, Melor.