Abdul Rahim: We won’t dip into RM436.5bil global reserves


THE government will not dip into the nation’s RM436.5bil international reserves for Budget 2021 or Covid-19 economic stimulus packages, says Deputy Finance Minister Datuk Abdul Rahim Bakri.

“The international reserves are for specific uses and not for the Budget or Covid-19 economic stimulus packages.

“The financial allocation for the Budget and economic stimulus packages are sourced through domestic borrowings from the local market, ” he told Pang Hok Liong (PH-Labis).

Abdul Rahim said as of Sept 31 this year, Malaysia’s international reserves stood at US$105bil (RM436.5bil), which is an increase of US$1.4bil (RM5.7bil) compared to last year.

He said the reserves are sufficient to bear the cost of imports for 8.4 months or equivalent to 1.1 of the nation’s short-term debts.

Abdul Rahim also said Bank Negara is using international standards to gauge the nation’s international reserves. These include the amount of foreign currencies, gold and other available assets. Malaysia’s financial standing by the International Monetary Fund is also looked into.

He added that the central bank uses the currency reserves as liability guarantee for the local currency and as reserve deposits with foreign banks.

Among the foreign currencies held as reserves include those of the US, UK, Japan and EU, Abdul Rahim said.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 18
Cxense type: free
User access status: 3
   

Did you find this article insightful?

Yes
No

100% readers found this article insightful

Next In Nation

Emergency has not turned M'sia into dictatorship, says PM's principal private secretary
Police in Labuan hand out RM1,000 compounds to 41 people for MCO violations
Covid-19: Apollo Market in Penang ordered to close from Monday (Jan 18)
No Thaipusam celebrations in Ipoh this year to comply with CMCO
Sabah flood victims want better flood mitigation plans for the future
Ampang Jaya OCPD urges public not to take advantage of leeway given to exercise during MCO
Cops issue 14 compounds in Butterworth on Saturday (Jan 16) for MCO breaches
KL parks allowed to open after NSC approval, says Annuar Musa
Umno deputy president says health emergency more appropriate for current situation
RM201mil worth of drugs seized, Johor cops say biggest drug haul yet

Stories You'll Enjoy