Despite the current projection of around 4.8 to 4.9 percent growth, Prime Minister Tun Dr Mahathir Mohamad believes Malaysia’s gross domestic product could reach above five percent this year.
According to him, while changes in governments in other countries were met with street demonstrations and riots, this has not happened in Malaysia, reported The Edge Markets.
“In Malaysia, the transition is smooth and we are able to continue with the projects and handle the projects left over by the previous government, and we could formulate new strategies or even use old strategies that used to work for us before,” he said during the “Future of Malaysia and ASEAN” session at the ASEAN Business Summit in Bangkok, Thailand.
The Prime Minister also said that fiscal consolidation is coming along fine, despite the government having a RM 1 trillion debt.
“We are still able to run the government and pay salaries the way we used to do,” he said.
Regarding the reformation of Government-Linked Companies (GLCs), he said changes had to be made in some as they were headed by politically linked persons, and to avoid continued losses.
Under the new government, most of the GLCs now have professionals as heads with only one or two qualified politicians who are appointed as board members and not as chairmen.
He also revealed government plans to improve the performance of GLCs by altering their directions and structures, removing companies that are unnecessary and selling some to the private sector.