We’re not in dire straits

IN Bank Negara’s first quarterly report for 2018, the overall tone of the economic and financial report remains positive. Malaysia registered positive figures in GDP growth, current account surplus, steady financial market performance despite outflows from spooked investors and a strong banking capital base. The figures even evinced a decline in inflation rate at 1.8% year-on-year.

Yet, the whopping fiscal debt of RM1tril (and counting) seems to have sent the country into a spiral of fear, resulting in the setting-up of Tabung Harapan Malaysia to “save” the nation.