The Bank Negara RM30 Billion Forex Losses Scandal

Kit Siang also published a book on the BNM Forex losses scandal
Kit Siang also published a book on the BNM Forex losses scandal

Yes. The year was 1994 when Lim Kit Siang found it ultra-important to publish a book on the Bank Negara Malaysia (BNM) foreign exchange scandal that caused the loss of RM30 billion (estimated to be at RM49 billion in today’s terms).

The book is called, as you would have guessed, ‘The Bank Negara RM30 Billion Forex Losses Scandal‘.

bnm-loss

The BNM forex scandal losses in 1991 made international headlines at the time, forcing the resignation of BNM’s governor Jaffar Hussein.

Again I should thank Kit Siang for writing all this, making it easier for me to see what he had written on the issues he raised in the past.

In 2004, Kit Siang called upon Nor Mohamed Yackop who then was sworn in as a Senator to become Finance Minister II to issue a White Paper on the matter.

Up to now, the government has failed to “come clean” on the colossal  Bank Negara forex losses  as a result of speculation in the international currency markets from 1992-1994, with the losses  cited as ranging from RM10 billion to RM30 billion. In Parliament in 1994, I had given reasons as to why the Bank Negara’s forex losses as a result of its forex speculation operations could have amounted to as high as RM30 billion, which had not been seriously rebutted by any top government leader or Bank Negara official,” he wrote on his blog limkitsiang.com.

In  April 1991, a   Reuter news agency report from London described Bank Negara as “a dominant force on the foreign exchange scene for some years” and it was  accused by some forex operators as “a market bully”.

The 1991 Reuter report states:

“Over the past two years it has stepped up its trading volume, and this year it has started dealing in what dealer described as ‘really massive amounts’… 

“Typically, Bank Negara operates in US$50 million lots, compared with the market norm of US$5 million or US$10 million and deals with maybe six major banks in Europe and six in New York, dealers said. 

“One trader said the only dealers rivaling Bank Negara would be the Japanese funds. But while these funds enter the market no more than once or twice a year, Bank Negara is coming in and doing yards (billions) of dollars a day. 

“”Its recent technique has been to hit major banks for US50 million each, then his them 10 minutes later, dealers said. 

“Then it changes centre, and does it all over again.” 

The April 1994 issue of Malaysian Business – one of the publications in the New Straits Times stable – reported  that Bank Negara’s maximum exposure in the foreign exchange markets reached as high as RM270 billion – three times the country’s GDP and more than five times the country’s foreign reserves at the time!

Kit Siang added that some Government leaders were wise after the event, and one of them was none other than Daim Zainuddin, under whose first tenure as Finance Minister from 1984-1991 the Bank Negara’s unorthodox forex speculation started, who said on April 4, 1994 that while those responsible for the huge forex losses of Bank Negara had accounted for their mistakes by resigning, central banks should never “play with fire” with such forex speculation.

It was Kit Siang who pointed out the irony.

In 1995, a book on international high finance, ‘The Vandal’s Crown‘ by Gregory J. Millman on Page 229 had this to say about the Bank Negara forex scandal:

“Using all the resources a central bank commands – privileged information, unlimited credit, regulatory power, and more – Malaysia’s Bank Negara became the most feared trader in the currency markets. By trading for profit, Bank Negara committed apostasy against the creed of central banking. Instead of working to ensure global financial stability, Bank Negara repeatedly shoved huge sums of money into the most vulnerable market situations in order to destabilize exchange rates for its own profit” (p.226) 

“(Bank) Negara operated behind a thick veil of secrecy. The bank seldom spoke publicly about its controversial trading activities. Yet it was increasingly clear to foreign exchange traders that Bank Negara’s operations in the foreign exchange markets went far beyond simple self-defense. It became the most awesome currency trader in the world.” (p. 227) 

“(Bank) Negara’s market manipulation was so egregrious that one American central banker said, ‘If they tried this on any organized exchange in the world, they’d go to jail.’ However, in the unregulated international currency markets, there were neither police nor jailers. The only rule was the rough justice of the vandals, and it was this rule that eventually brought (Bank) Negara down. 

“In 1992, (Bank) Negara took on a large pound sterling position, apparently expecting Britain to maintain the discipline required by the European Exchange Rate Mechanism. It was a bad economic and political judgement. (Bank) Negara lost approximately $3.6 billion when Britain withdrew from the ERM, letting sterling collapse. The next year, (Bank) Negara lost an additional $2.2 billion. By 1994, Bank Negara was technically insolvent and had to be bailed out by an infusion of fresh money from Malaysia’s finance ministry.”

Recently, Abdul Murad Khalid who was the Assistant Governor of BNM who resigned in 1999 revealed that the forex losses were in actual US Dollars and not in Malaysian Ringgit.

There was no control… The most important thing is that there was no investigation at all,” Murad was quoted as saying by NST.

Asked if the then Prime Minister knew about the losses, he replied: “I’m sure the governor briefed them.”

Kit Siang’s silence on this issue is indeed deafening.  The so-called champion of the rakyat now has his balls as wrinkled as his face is.  And all to achieve his personal political ambition.

In 1993, Anwar Ibrahim who was then the Finance Minister responded on behalf of his then-master, U-Turn Mahathir, to Kit Siang’s query on some “rumours about BNM losing money gambling forex“.

Anwar said that the rumour was not true at all.

When confronted, again by Kit Siang, a year later, Anwar said “the amount is not huge.”

The above engagements can be found in the Parliament Hansard.

After Murad’s revelation we know now that the amount is actually colossal.

We also know that U-Turn Mahathir as well as Daim Zainuddin were very much in the know of the losses.

And we know that Lim Kit Siang is just another opportunist snake manipulating the issue to gain support from the rakyat but now bats no eyelid to work hand-in-hand with his sworn enemy so he could come into power.

I am pretty sure he feels pleased looking at himself in the mirror every morning knowing he had blatantly lied to the people.

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wǔdǎyī!

Terima Kasih, Lim Kit Siang

My wife knows how I often thank people – be it a hotel cleaner, the toll booth operator manning the TouchNGo reload booth, the waiter at some stall.

This time I would like to thank Lim Kit Siang for being the proud politician that he has alwas been – the self-glorification by a man who thinks very greatly of himself, his works, his speeches, his essays; that he shares all these with us online that it feels like you are walking through a Presidential library of a man never destined to preside over or administer a country.

And it all began with Lim Kit Siang’s admission of willingness to work with the Barisan Nasional. One would wonder what has made this proud man discard his pride to go back on his struggles just to remain relevant?

It does sound like U-Turn Mahathir and I dare say it also partly has to do with trying to save his son from an imminent prison sentence for corrupt practices while being a Chief Minister.


The other part, in my opinion, is because of the recent revelation of CIA documents linking U-Turn Mahathir to the Bumiputera Malaysia Finance scandal of 1983 that saw billions of Ringgits missing and resulted in the death of a senior bank auditor for knowing too much, and the suicide committed by the Carrian Group’s adviser.



It was during U-Turn Mahathir’s watch, two years into his stewardship, that Bank Bumiputera which was a government-owned bank formed with the purpose of assisting unfortunate Bumiputeras lost that huge sum of money.

And according to the CIA document it was impossible for Mahathir’s cabinet to not know anything about the outflow of such a huge amount of money in the form of loans given to a non-Bumiputera associate of his in Hong Kong.

Mahathir, like in the PKFZ hearing, has denied any knowledge of the missing money.

For those born in the mid-1970s and have no recollection whatsoever of the BMF scandal can watch this awesome documentary which has none other than the self-admiring Lim Kit Siang talking about the scandal.


Unfortunate for Kit Siang, he cannot claim ignorance of what he had said about the scandal be it on camera or online.


Like I said, Kit Siang is so proud of himself, his works, speeches etc., that he shares them all with us online. And there are about ten posts related to the BMF scandal itself.

Among the more interesting posts is one titled ‘DAP reiterates call for Royal Commission of Inquiry into the $2.5 billion BMF Scandal after $8 billion suit against BBMB in California Federal Court.’


That article dated 29th February 1992 has an interesting ending where Kit Siang asked the following:

“If the Government leaders have nothing to hide, why is the Prime Minister, Datuk Seri Dr. Mahathir Mohamed, and the present Cabinet so adamant in refusing to commissioning a full public inquiry into the BMF scandal?”

I would like to know too! Why?

And I would also like to know if Kit Siang now knows that with the CIA exposé there is absolutely no way that he could work with Mahathir, deny ever knowing about the BMF scandal, and sacrifice the MP allowances that is helping him with sustaining his lifestyle in the next general elections?

This is one lump of dirt that even Kit Siang cannot sweep underneath his carpet. He knows that if he continues to work with U-Turn Mahathir, his political career would be as dead as a Dodo.

So he makes a U-turn and decides to work with the Barisan Nasional to rid the country of the biggest kleptomaniac of all – U-Turn Mahathir s/o Mohamad.

Thank you again Lim Kit Siang, for the reading material. You really made my day.

Sinking the Mamak’s Tongkang

mamaktongkang
Indian seamen being rescued from a sinking vessel. This has nothing to do with this article but it shows the desperation

Every time I read Mahathir’s postings on his blog, I would imagine him writing it himself and then pass it to probably his trusted aide, Sufi, to do some research and fill in the blanks before passing it back to him for the final touch before the article is posted at chedet.cc.  The URL used to be chedet.com if I am not mistaken but due to some dispute with the previous administrators the URL is now the current one. The administrators, while working for him, displayed their support for another contender for the Ketua Pemuda UMNO post instead of for Mahathir’s son, Mukhriz.  Anyhow, the contender they supported lost the race, and so did Mukhriz.  Mahathir was furious when he found out that they did not support his son and as the story goes, the two quit without ever disclosing the password for chedet.com.

I have never worked for Mahathir or for any other politician for that matter. I just write whatever I feel like writing. But I don’t have the same privilege that is someone to do the research for me. So when I read his latest post The 2017 Budget I felt disappointed that the research done was just as good as mine if not worse.

Mahathir wrote:

5. Why will the Government not have the money? It is because Government money is not used for good governance, for the development of the country and the well-being of the people.

This is like shooting blanks. The East Coast Highway began construction in 2001.  The project was first announced in 1994 for a new highway that would stretch from Karak to Kuala Terengganu but construction was delayed due to the Asian Financial Crisis. When construction commenced, the highway was shortened to only Kuantan as a lesson by Mahathir to the people of Terengganu whom had voted PAS instead in 1999.  You should remember what I wrote in a previous article on how vindictive Mahathir was towards the people of Kelantan and Terengganu for their support for PAS then.  So, Mahathir too never spent money for the well-being of the people.  Only his cronies prospered whenever projects are implemented.

The 11th Malaysia Plan has lined up many projects that would benefit the youth, the handicapped, the minorities and those who live in traditional villages.  Three pilot projects will be implemented for the youths under the 1Malaysia Youth City program in the Peninsular, Sabah and Sarawak.  For children between the age of 13 and 18 residing in welfare institutions they would be given the opportunity to undergo the Technical Vocational Education Training (TVET) to provide them with skill sets for them to face the world when they become independent.  A micro-credit scheme would be introduced to the Chinese community under the Chinese New Villages Special Loan Scheme program while a blueprint for the betterment of the Indian community will be prepared.

Six new hospitals will be built while three hospitals namely the Tawau, Kota Marudu and Miri Hospitals would be upgraded.  As it is, the Sri Aman Hospital would be completed as soon as possible. On top of that, 165 new Klinik 1Malaysia will be built nationwide to provide basic medical care for those in the rural areas.

Unlike under Mahathir, the Pan-Borneo highway that has begun construction will be toll free. Mahathir had had to make the people pay for the construction of highways despite claiming that the government had much more money under his administration and we in KL especially are still paying for the sins of Mahathir in the form of extended toll concessions to his cronies.  And for 22 years the people of Sabah and Sarawak had to endure endless ferry rides to get from one place to another while bridges have been and are being built under Najib’s administration despite not having any money as claimed by Mahathir. AND NO TOLL EITHER!

More Mass Rail Transit and proper extension of the Light Rail Transit to benefit the people in the Klang Valley have and are being constructed as compared to the time under Mahathir’s 22 years when the government seemingly had more money.  Double-tracking rail project, High-Speed Rail project and most recent was the announcement on the new East Coast Rail Link that would benefit the people of the very region Mahathir hated very much.

So where was your good governance or your concern for the well-being of the people back then?

Mahathir Wrote:

7. For this the Prime Minister has created sinecure jobs for a lot of loyalists. There are now nine Ministers, three Deputy Ministers in the Prime Minister’s Department.

8. There are now 51 divisions in the Prime Minister’s Department. The budget allocation for the Prime Minister’s Department has risen from RM5.2 billion in 2000 to RM20 billion in 2016, a four folds rise. It is 13 per cent of the 2016 budget of RM267 billion. It was less than four per cent between 2000 and 2008.

The Prime Minister’s Department is being run by the Chief Secretary to the Government. It now includes agencies that were not there during Mahathir’s time such as the Malaysian Maritime Enforcement Agency (MMEA/APMM) whose jurisdiction goes beyond the 12-nautical mile statutory limit of most of our Acts, enforces the EEZ but is not under the Ministry of Defence as it is not a military force. So who is to look after the development and the legislative requirements of the agency if not a Minister? The same goes for the Eastern Sabah Security Command (ESSCOM) which looks after the security of Sabah’s east coast from intrusion by foreign paramilitary units.  The Malaysian Islamic Development Department (JAKIM) also falls under the purview of the Prime Minister’s Department and that has to be headed by a Minister as given by the Act.  The Istana Negara, the Parliament, the Malaysian Anti Corruption Commission, the Elections Commission, the Economic Planing Unit, they all come under the purview of the Prime Minister’s Department.  Not forgetting Mahathir’s own Secretariat Office for the Former Prime Minister Tun Dr Mahathir Mohamad which did not exist prior to his resignation as the Prime Minister.  So is he complaining about the budget that the Prime Minister’s Department is giving his people so they can write lies and bite the hand that feeds them?  Maybe Mahathir’s cook needs to be pulled out. I don’t know what has the cook been feeding the old man that his mind has gone from that of a statesman to that of an estate’s man.

Mahathir Wrote:

10. Under BR1M, 7 million people got initially RM500 each. Now they are promised RM1,000. There will be more increases next year. 

11. At RM500 it will cost the Government RM3.5 billion. At RM1,000 it will cost RM7 billion.

12. Perhaps the very poor would benefit but for most of the recipients RM500 for a year is meaningless. The better thing to do is to give the really needy, the hard core poor sufficient monthly allowances to support their lives. For the rest create jobs and train them. But the Government is not encouraging job creation. Local industries are not supported. But imports are encouraged.

RM7 billion it would cost the government to give out BR1M.

BR1M would be chicken-feed for Mahathir. His cronies spend RM1,000 at Chawan in front of Bangsar Village or at the Bangsar Shopping Centre to feed his bloggers.

It may be a one-off thing but that means a staggering amount of RM7 billion gets circulated in the economy.  Being a layman my understanding of that would be that when there is more money in circulation, jobs are being created as people have more spending power. At RM500 or RM1,000 per person it may not seem much, but by having that extra money to spend encourages spending. Purchases will be made, demand is created, production needs to be increased, more business opportunities for new industrial players, and therefore more jobs are created.

It may not matter to Mahathir that it increases the disposable income of the lower income groups; it boosts consumer sentiments as it increases domestic consumption – the higher the amount of BR1M, the higher the domestic spending.  With subsidy cuts and spending more on BR1M Malaysia’s deficit has been reduced with a much larger chunk of the economic wealth going to those who need it the most.

And under the 11th Malaysia Plan the government is committed towards having 11,000 physically-challenged individuals to work for the government while in the five economic corridors in the Peninsular, Sabah and Sarawak alone 470,000 jobs will be created.

Mahathir Wrote:

19. The level of borrowings by the Government has reached record levels. Future generations will have to pay these loans.

20. All these will not show up in the budget. But the people will know as they struggle to make ends meet.

Singapore has a US$1.76 Trillion external debt with a Debt to GDP ratio of 106%.  Our debt stands at RM630.5 billion (US$150.6 billion) while our GDP is at RM1.157 Trillion (US$276 billion) making our Debt to GDP ration 54.5%.  If Singapore is not panicking then why should we?

In fact, if we compare the first seven years of Mahathir’s administration against Najib’s we can see that we should have gone bankrupt (in the words of Mahathir’s lackey Kadir Jasin) when our Debt to GDP ratio was well over 100% for two years in a row!

screen-shot-2016-10-19-at-17-04-44
Mahathir’s First Seven Years (1981-1987) with Hussein Onn’s Debt to GDP ratio in 1980 at 44% only

We could see that not only debt had increased during Mahathir’s first seven years, GDP also fluctuated and was at its highest point in 1987 yet debt was much higher!

Compare that to Najib’s first seven years and we can see

Screen Shot 2016-10-19 at 17.05.42.png
Najib’s First Seven Years despite the slump in oil prices in 2014 has seen an increase in GDP

As a matter of fact, the bad performance of Debt to GDP ratio during the 1986-1987 period under Mahathir was not the only time when the economy was in a critical situation going by Kadir Jasin’s definition, the country’s GDP was at negative 7% when Mahathir carried the country through the Asian Financial Crisis in 1998 – which was worse than when Tun Abdullah Ahmad Badawi ran the country during the Global Financial Crisis in 2008 which was at negative 1.5%!

So is Malaysia on the verge of bankruptcy?  “Although we were faced with the drastic fall in global crude oil prices in 2015/2016, which caused the government to lose more than RM30 billion in revenue, the country still recorded a positive economic growth which was 6% in 2014, 5% in 2015 and 4.1% in 2016 (6 months),” said Second Finance Minister Datuk Johari Abdul Ghani.

And despite losing that much revenue, the government could still finance its projects – thank you in large to the implementation of the GST which has allowed the government to have an alternative source of income and reduce the dependency on the the price of oil. To add the strawberry on top of that cake is that the inflation rate of 3.43% upon the implementation of the GST program has been reduced to less than 2% this year.


Perhaps Mahathir ought to fire whoever it was who helped research for that article of his.  Such a waste of allocation from the Prime Minister’s Department.  Seriously!

Oh! Why such a title for this posting?  Let me quote this rather amusing blog post:

Melayu Celup

Small in numbers, about 5% of the total Mamak population but rather loud and “glaring”. Though mostly from the 3rd Graded colony, they have graduated well and have an ability of a Chameleon (or think they can) with the Malays. Some examples of these low dignity Melayu Celups are Ahmad Rizal Naina Merican, Sheik Hussein Mydin and Zambry Kadir carrying the Mamak trade mark glaringly. But if they are lucky they will look like the controversial Sharifah Zobra or Mahathir Mohamed. Let me give you a secret, any names that ends with Naina, Kadir, Mydin, Merican, Pakir, Jabeen, Shaik, Mubarakh, Mohammad (no reference to the Prophet Mohamed S.A.W.) are downright, flat out, no doubt, true blue Mamak Tongkang or the immediate descendant’s.

I think the Mamak’s tongkang has just been sunk.

FGV Acquires Zhong Ling

Media ReleaseZhong Ling Acquisition to Strengthen FGV’s Downstream Position in China

 

KUALA LUMPUR, 16 MARCH 2016 – Felda Global Ventures Holdings Berhad (FGV) is confident its latest venture, the planned earning accretive acquisition of a 55% stake (valued at RM976.25 million) in Zhong Ling Nutril-Oil Holdings Limited (Zhong Ling), will strengthen its presence in high margin downstream activities.

As part of its transformation strategy and aggressive growth plans, FGV has identified the Chinese market as a key pillar of revenue enhancement for the Group, and plans to strengthen its position in China through a strategic acquisition of a stake in a well-known local player.

China is one of the world’s fastest-growing major economies, with Gross Domestic Product (GDP) growth rates averaging 7% from 2014 to 2015. With a population of almost 1.4 billion people, China has become one of the most important markets in the world for edible oils. 

As the largest importer of edible oils, China consumes almost a quarter of the world’s total edible oils (20% of worldwide consumption). FGV views China’s increasing demand potential as an attractive prospective market for expansion of FGV’s downstream capabilities, particularly in the Consumer Packed Goods (CPG) business.

The strong demand for blended cooking oil in China is also anticipated to provide an avenue for FGV’s palm-based products in the massive Chinese market. Ultimately, the Group will be able to penetrate further downstream palm-based products such as margarine, shortenings and food processing ingredients.

According to FGV’s Group President and Chief Executive Officer, Dato’ Mohd Emir Mavani Abdullah: “We view Zhong Ling as a strong local partner for FGV’s downstream expansion in China not only because of its solid brand and deep market insights, but also for it being ranked 10th in the retail cooking oil market in China. Zhong Ling will be a firm avenue for distributing our palm oil products which is our main intention.” 

Established more than 20 years ago, Zhong Ling has a sales network of 60,000 retail outlets covering five southeast coastal provinces of Fujian, Jiangxi, Guangdong, Zhejiang and Jiangsu.

Since its establishment, Zhong Ling has experienced tremendous growth, recording a Compound Annual Growth Rate (CAGR) of about 20% in revenue over the past four years and generating average profit margins in the region of 14% annually (2011-2014). In 2014, the company posted total revenue of RMB2.32 billion (RM1.5 billion), generating RMB326 million (RM207 million) in profits. Furthermore, based on its 2015 management account, Zhong Ling is backed by more than RMB1.0 billion (RM635 million) cash reserve and, most importantly, is a debt free company.

The intended investment has cleared all necessary due diligence, in accordance with FGV’s investment and governance policies. The financial and tax due diligence that FGV has performed covers Zhong Ling’s financials. All subsidiaries under Zhong Ling have been audited annually in accordance with China’s regulations.

In 2011, FGV has made its first foray into China through its joint venture FELDA IFFCO Sdn Bhd. Its subsidiary FELDA IFFCO South China Ltd, which operates in Guangdong, has two refineries and the second largest tank farm in South China. The company manufactures and markets a range of edible oils and fats including shortening and specialty fats for the large and growing Chinese market.

A Negative Proton

Protons are supposed to be positive charged. Somehow, that is not part of the traits of our beloved Proton. Don’t get me wrong. Proton has mostly churned out good cars. My first car, the Proton Saga Megavalve, was with me for 16 years before I used a Perdana V6. It was only in 2011 that I switched to a Japanese model and is still using it. Entitled to a Kia Sorento from the company I prefer using a Proton Pesona because it’s zippy, reliable, and fits me going to either Hilton Sentral for meetings or to drive  into a construction site. I love Proton, but I don’t love the case the Protun group has put through:

  

 The above post invited a rebuttal by their opponents:

 I don’t know who are the Protun people trying to kid.

Proton started off with RM6 billion for two plants. It became very profitable in the mid 1980s and 1990s that its distributor EON, bought a bank and named it EON Bank! Over 30 years the Research and Development costs have totalled RM18 billion. However, Proton also has to pay royalty to Mitsubishi and as at 2003, that has amounted to RM17 billion. I’ll leave the total up to 2015 to your imagination.

Then for some reason Proton lost its edge and perhaps the drive and direction that Petronas had had to bail Proton out with a at least RM1 billion injection . Coincidentally both Petronas and Proton share the same adviser.

Don’t forget Proton also lost about RM1 billion (estimated) after discarding MV Agusta and Lotus! Bad management decision after a bad advice I assume.

In the end, Khazanah has had to step in through the acquisition of shares that must have cost around RM1 billion!

After 30 years in operation and RM44 billion spent, Proton still cannot make its own cars and have to rely on designs and engines from outside and is probably no different to Naza that sells rebranded cars. Yet it needs a capital injection of RM3 billion to produce new models! Three months later, Proton requested for a RM1.7 billion grant from theEconomic Council chaired by Najib Razak

So more needs to be injected using the taxpayers’ money after 30 years while the rakyat will have to be contented with buying overpriced cars. While 1MDB has all but settled its problems, Proton is still looking for a business model that works and that after 30 years!

Instead of blindly attacking 1MDB and other efforts by the Najib administration, Mahathir should just focus on steering Proton the right way towards profatibility and giving the rakyat the access to affordable quality cars.

And instead of spending millions on birthday bashes for him, maybe Mahathir ought to ask his cronies to take up equity in Proton and actually work for money.

He would whine less and be less grumpy when at least one of his efforts actually works.

  

RM623.3 billion… AND FALLING!

  
One look at the headline above and the untrained mind would scream in panic.

However…

According to a parliament answer by Deputy Finance Minister Johari, as at end Sept 30, 2015 our govt debt is now at RM623.3 billion, which is 50.7% of GDP – dropping from 52.8% (RM568,8 billion at June 30, 2014) and 54.7% (RM547.6 billion as at end 2013).

Our debt has increased but our country’s GDP (our national income) has increased much faster due to our steady GDP growth – hence the sizeable drop in the Debt to GDP ratio.
At 50.7% Debt to GDP ratio, according to the CIA fact-book, more than 70 other countries in the world will have to go bankrupt before it reaches our turn.
These countries include: Japan Zimbabwe Greece Lebanon Jamaica Italy Portugal Eritrea Cabo Verde Grenada Ireland Cyprus Belgium Singapore Barbados Spain Puerto Rico France Canada Egypt Bhutan Jordan Antigua And Barbuda United Kingdom Iceland Croatia Austria Saint Kitts And Nevis Belize Saint Lucia Hungary United States Germany Morocco Sudan Albania Sri Lanka Ghana Ukraine Dominica Serbia Sao Tome And Principe Netherlands Malta Aruba Saint Vincent And The Grenadines Israel Seychelles Pakistan Guyana Uruguay El Salvador Mauritius Slovenia Malawi Mozambique Montenegro Finland Brazil Bahamas, The Yemen Costa Rica Slovakia Senegal Vietnam Venezuela India Marshall Islands Syria 
The steady drop in our Debt-To-GDP ratio is due to our shrinking yearly budget deficits which have been reducing every year to only 3.2% this year and targeted at 3.1% next year.

The federal government debt as of Sept 30 this year was at RM623.3 billion, said Deputy Finance Minister Johari Abdul Ghani.

“Of this amount, 96.4 percent or RM601.1 billion was domestic debt, with the balance of RM22.2 billion or 3.6 percent being offshore loans in various denominations of currency.
“The government debt is manageable and categorised as a country with moderate indebtedness,” he told the Dewan Rakyat today.
He said this in response to a question from Ahmad Hamzah (BN-Jasin) who asked for clarification from the finance minister on the federal government debt.
Johari said the level of the federal government debt for the stated period to the Gross Domestic Product (GDP) was 50.7 percent.
—-
https://www.cia.gov/library/publications/the-world-factbook/rankorder/2186rank.html
http://www.malaysiakini.com/news/322001
http://www.themalaysianinsider.com/bahasa/article/hutang-negara-rm568.9-bilion-atau-52.8-daripada-kdnk

  

Darth Sidious Makes Perfect Economic Sense

  
The Emperor has spoken.

In a statement posted by Malaysiakini his Lordship has made it clear that in order for the economy to recover, the rebel Najib Razak must he removed. Only then will worldwide commodity prices rise, China’s stock markets will improve, oil prices will hit USD200 per barrel, the oil and gas company Hercules will rise from the dead, and oil and gas companies like Technip, Schlumberger etc will reinstate tens of thousands of workers who lost their job because of Najib and the 1MDB.

In a related development, the Jawas on Tattooine have also complained about plunging sales of used droids saying the steep rise of the USD against other galactic currencies have hurt their livelihood.

It is a known fact published by the various zombie-portals that Najib Razak, the rebel from planet Pekan, has been undermining the economy of virtually all star systems within this galaxy.