Malaysian Prime Minister Mahathir Mohamad (Photo: EPA/VNA)
Beijing (VNA) - Malaysian Prime Minister Mahathir Mohamad said on August 21 that the three Chinese-funded projects will be cancelled until Malaysia can afford them.
They are the 20 billion USD East Coast Rail Link (ECRL) project and two natural gas pipeline projects worth 2.3 billion USD in Sabah and Kedah States.
Addressing the media in Beijing before concluding his five-day trip to China, Mahathir explained that if Malaysia continues implementing these projects, it will need to borrow a huge amount of money that the country could not afford.
These projects are not necessary for Malaysia now as the country has to work hard to fix domestic financial deficit, he said.
At present, the Malaysian Government is exerting every effort to reduce the national debt, which has climbed to 250 billion USD, he added.
Despite the possibility of reconsidering projects involving Chinese partners, PM Mahathir has still sought ways to foster trade relations between Malaysia and China.
After his meeting with Chinese Premier Li Keqiang on August 20, Mahathir said he believes that China will help his country deal with budget difficulties.
China is a leading trade partner of Malaysia with two-way trade reaching 74 billion USD last year, an increase of 20.6 percent against the previous year.-VNABeijing, August 21 (VNA) - Malaysian Prime Minister Mahathir Mohamad said on August 21 that the three Chinese-funded projects will be cancelled until Malaysia can afford them.
They are the 20 billion USD East Coast Rail Link (ECRL) project and two natural gas pipeline projects worth 2.3 billion USD in Sabah and Kedah States.
Addressing the media in Beijing before concluding his five-day trip to China, Mahathir explained that if Malaysia continues implementing these projects, it will need to borrow a huge amount of money that the country could not afford.
These projects are not necesary for Malaysia now as the country has to work hard to fix domestic fiancial deficit, he said.
At present, the Malaysian Government is exerting every effort to reduce the national debt, which has increased to 250 billion USD, he added.
Despite the possibility of reconsidering projects involving Chinese partners, PM Mahathir still sought ways to foter trade relations between Malaysia and China.
After his meeting with Chinese Premier Li Keqiang on August 20, Mahathir said he beleives that China will help his country deal with budget difficulties.
China is a leading trade partner of Malaysia with two-way trade reaching 74 billion USD last year, an increase of 20.6 percent against the previous year.-VNA
