Tabung Harapan’s RM203 million to pay 1MDB debts

The Tabung Harapan fund was launched last year following Pakatan Harapan’s victory in the May 9 general election. (Bernama pic)

PETALING JAYA: Putrajaya will use some RM200 million collected for Tabung Harapan Malaysia to settle part of 1MDB’s RM1.7 billion debt this year.

“Although the fund will not be able to pay all of 1MDB’s debts amounting to RM51 billion, Tabung Harapan will remain as the symbol of Malaysians’ patriotism and loyalty to help settle the country’s debt,” the finance ministry said in a statement today.

It said a total of RM203,292,117.41 was collected for the fund, which was launched last year in the weeks following Pakatan Harapan’s general election victory.

This includes RM575,342.31 in interest accumulated up to March.

The ministry’s statement comes a week after Putrajaya announced that it would use the repatriated US$322 million (RM1.34 billion) in 1MDB assets from the United States and S$50 million (RM152.4 million) from Singapore to repay debts incurred by the scandal-plagued fund.

The US$322 million will be received from assets worth US$1.7 billion being claimed by the United States’ Department of Justice (DoJ).

Tabung Harapan was established by the Pakatan Harapan administration on May 30 last year to receive donations and contributions from individuals and companies to assist the government in tackling the country’s debts.