Malaysia to review and renegotiate projects to slash debt

Aggressive measures aimed to achieve 2.8% deficit-to-GDP target

20180531KualaLumpurCity

A view of Kuala Lumpur. Malaysia's newly installed government will establish a trust fund to let the public contribute to easing the country's huge national debt.

CK TAN, Nikkei staff writer

KUALA LUMPUR -- Malaysia will review, defer or renegotiate a number of projects totaling at least 10 billion ringgit ($2.5 billion) through the end of the year to meet the fiscal deficit target of 2.8%, a government minister said on Thursday. 

The decision comes as the government of Prime Minister Mahathir Mohamad seeks to fulfill promises made during the May 9 election campaign, while at the same time tackling expanded national debt, including guarantees made by the previous government. 

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