Bank Negara declines comment to diffuse speculation of Governor's resignation


KUALA LUMPUR: Bank Negara Malaysia (BNM) has declined to comment on speculation that its Governor, Tan Sri Muhammad Ibrahim (pic), has offered to resign.

News, quoting people familiar with the matter, surrounding word of his said resignation became a hot topic on Tuesday (June 5).

Muhammad assumed the office of Governor on May 1, 2016, succeeding Tan Sri Dr Zeti AKhtar Aziz. He is the 8th Bank Negara Governor.

The central bank was previously embroiled in a controversy over a RM2bil land purchase said to be linked to the 1Malaysia Development Bhd (1MDB) fiasco.

The Finance Ministry confirmed several news reports published in the Wall Street Journal and Reuters claiming which said that the ministry had made payments on behalf of 1MDB to service the latter's debt obligations.

The sources for the payments included redemption of Redeemable Cumulative Convertible Preference Shares (RCCPS) by Khazanah Nasional Bhd amounting to RM1.199bil and the sale of a piece of land to Bank Negara amounting to RM2.066bil. – Bernama

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