Are we to blame for Thailand's market slump as well, Guan Eng asks critics

Finance Minister Lim Guan Eng hit back at critics who claimed that Prime Minister Dr Mahathir Mohamad's RM1 trillion debt announcement and the ongoing probe against former premier Najib Abdul Razak caused the downward trend of Bursa Malaysia.

At a press conference in Putrajaya today, Lim asked if the government would be blamed for the Thailand stock market plunging as well.

Yesterday, Najib claimed that the government's debt announcement had spooked the financial market.

Lim, however, argued that the market's performance is determined by numerous factors.

"The regional market is also similarly affected today," he said.

"I think you were asking the same question for the market that fell in Thailand. The market fell because of Malaysia?" he asked when pressed further.

"I don't think you can identify whether the market rises or falls according to one statement that had been made by the federal government," he added.

A Reuters report said the weakening ringgit was attributed to the political situation in the country resulting in capital outflow which, in turn, affected investor sentiment.

A comment piece published by Bloomberg today also reminded Lim to be more tactful in dealing with 1MDB and economic issues as he longer was in the opposition.

"For Lim to declare in his first press conference that government debt has exceeded one trillion ringgit ($251 billion) because of a sly public bailout of 1MDB gets him full marks for honesty, but not for tact," wrote Bloomberg's columnist Andy Mukherjee.

'Not be deceived'

Lim, however, insisted on the importance of speaking the truth. "In the short-term, this decision, to tell the truth, may unnerve Najib

"However, we firmly believe that in the medium-term, by recognising our true debt situation today, it will enable the federal government to take concrete action to regularise and strengthen our financial state," said Lim.

"Let us (move) for a change, speak the truth to the people and not only to the people but also the financial markets," he said.

'Let them not be deceived any more," he said without elaborating.

Lim appeared not willing to entertain more questions on the national debt, declining to take questions from this journalist.

"Can you find somebody else who has not asked questions?" he asked. - Mkini