KUALA LUMPUR: The government is expected to fall short in achieving its deficit target of 3% that was set last year, says former prime minister Datuk Seri Najib Razak.
He believes that the government, in its Budget 2020 to be announced later Friday (Oct 11), to instead declare a deficit of between 3.2% and 3.4%.
Najib added that a deficit means that spending had exceeded returns.
He claimed that the Pakatan Harapan government, knowing that its support among the people has plummeted, will ignore the national debt and instead increase assistance to regain some of this lost support.
“The Pakatan government no longer cares about the country’s credit rating, which will be downgraded in the future, while assets which were used to generate profits for our country were sold, ” Najib said in a statement posted on Facebook on Friday.
He added that under the previous Barisan Nasional administration, the national deficit was reduced eight years in a row, despite increasing assistance to the rakyat.
He also claimed that the country’s debt had ballooned to RM120bil under the Pakatan government.
“If the deficit is 3.2%, this means that the new debt amounts to over RM52bil.
“If the Pakatan government accumulates an average of RM55bil in debt annually in its five-year term, that means a total of RM275bil of debt would be accumulated, ” he said.