Cruel budget? PN states get more allocations, says Anwar

Cruel budget? PN states get more allocations, says Anwar

The finance minister says the budget set aside for opposition-led states was higher than the sum allocated by the Perikatan Nasional government.

Finance minister Anwar Ibrahim said higher allocations were set aside for Sabah and Sarawak as the East Malaysian states were lagging in terms of development. (Bernama pic)
KUALA LUMPUR:
Finance minister Anwar Ibrahim has hit out at opposition MPs who claimed that the national budget was “cruel” towards Perikatan Nasional-led states.

He pointed out that the PN administration never bothered to increase allocations for Kelantan, Terengganu, Kedah and Perlis, adding that the sum set aside in Budget 2023 for these states was “far better” than the amount allocated under Budget 2021.

“It is wrong to accuse us (the government) of being cruel,” Anwar said in his winding-up speech for the ministry in the Dewan Rakyat.

Anwar, who is also the prime minister, said under the recently-tabled budget, Kelantan received RM351.5 million. Terengganu and Perlis received RM411.1 million and RM154 million respectively.

However, he did not provide details on the allocations received by these states in Budget 2021.

He also said that in terms of development funds, Kedah received RM1.5 billion while Perlis received RM570 million. Kelantan, on the other hand, received RM2.5 billion, an increase of RM700 million from the sum allocated under Budget 2021.

“Read the budget, don’t spread lies.

“You don’t have to thank me, but do not mock me.”

He also defended the higher allocations for Sabah and Sarawak, saying the East Malaysian states were lagging in terms of development.

“If we spent RM10 million here (states in Peninsular Malaysia), we would have to spend RM100 million in Sabah and Sarawak.”

Using EPF savings as collateral

Anwar said the government had proposed that those strapped for cash could use their EPF savings as collateral to get a bank loan.

He said the government had no plans to allow more special withdrawals, as it was a pension fund. Other countries that allowed their pension funds to be tapped had also stopped doing so.

“We have to remember, the EPF savings are there for our retirement.

“I will ensure EPF allows members to apply for loans from banks using their savings as collateral.”

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