In a statement, the Pandan MP said the Federal Government had already taken on a combined RM6.4 billion of 1MDB’s debt when it took over SRC International and Bandar Malaysia.

He said on top of this, the government might have to take on the US$3.5 billion (RM14 billion) bonds guaranteed by International Petroleum Investment Co (IPIC) and the US$1.83 billion (RM7.4 billion) from its sukuk (Islamic bonds) issuance.

All this, he said, amounted to RM27.8 billion, and based on a 5% interest rate over 15 years until the debt was cleared, would total RM20.85 billion in interests.

He said the amount equalled RM3.3 billion a year which would be enough to build two public universities and three public hospitals annually.

Rafizi also took new Bank Negara Malaysia Governor Muhammad Ibrahim to task over the latter’s comments earlier this week, expressing confidence that the government would fulfil its obligations to 1MDB.

Rafizi said Muhammad Ibrahim had seemingly overlooked the fact that the public would suffer as a consequence because it is the public that would have to pay for the debt eventually.

“It is as though he has forgotten that with the government paying 1MDB debt, it would actually make the people suffer even further,” he said.

Yesterday, IPIC claimed 1MDB and the Malaysian Government now owed it more than US$1.2 billion (RM 4.8 billion) after a complex series of agreements between the two former partners went sour.

The latest twist in the 1MDB saga came on Wednesday when IPIC said it had to stump out a US$52.4 million coupon payment after 1MDB defaulted on the US$1.75 billion bonds due in 2022.

1MDB said it had “more than sufficient” funds to make the interest payments on that bond and another US$1.75 billion declared a default in April, but did not make the payments due to its dispute with IPIC.