Guan Eng on reviving GST: Respect mandate given by the people, Pakatan presidential council to decide

  • Nation
  • Friday, 04 Oct 2019

PUTRAJAYA: The decision to bring back the abolished Goods and Services Tax (GST) will be made by the Pakatan Harapan presidential council, says Lim Guan Eng.

The Finance Minister said until a decision is made, the mandate given by the people who voted for Pakatan, which among others promised to abolish the 6% GST, should be respected.

"Unless there is incontrovertible evidence that this (wanting GST back) is the will of the people, I think we have to respect the mandate given by the people of Malaysia in the last general election," he said after attending the ministry's monthly assembly on Friday (Oct 4).

Lim pointed out that in the last election, it was made very clear that the people rejected the 6% GST.

Prime Minister Tun Dr Mahathir Mohamad had said that the government will study calls to reinstate the GST if that is what the people want.

The Malaysian Institute of Economic Research had suggested that the government reintroduce the GST but at a lower rate of 3% and not the original 6%.

Lim said since GST was abolished last year, the government has managed to curb inflation and cost of living.

"Abolishing GST has its impact. We have one of the lowest inflations in the world at 1.5% last month and we expect not to exceed this for the whole year.

"If you allow GST to come back (at) 6%, then I think we will see inflation going up," he said.

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