Anwar: Mahathir asked World Bank for aid

Opposition leader Anwar Ibrahim yesterday made a startling allegation against Dr Mahathir Mohammad, claiming that the former prime minister had written to the World Bank for funds during the financial crisis in 1999.

In an effort to clear the “US agent” label against him by Umno and Mahathir, Anwar told a dinner attended by foreign ambassadors that in 1993, he had written to the World Bank in his capacity as finance minister to reject financial assistance.

“Of course, I had to chair the development committee of International Monetary Fund (IMF) and World Bank. For that I was portrayed as American agent, but the fact remains it was me in 1993 who wrote to the World Bank to say we are not requiring your fund.

“In 1999, the then prime minister Mahathir wrote to the president of World Bank appealing for funds and (to) borrow from World Bank,” he claimed.

The dinner was organised by the Selangor state government where Anwar(left) delivered a speech entitled ‘Debunking ETP: Widening Income Gap’ to some 150 guests including foreign ambassadors, economists, academicians, MPs, party leaders and journalists.

Wasn't that a paradox?

Anwar, who is also the Selangor economic advisor, was asked whether Malaysia is prepared to brace itself against the Eurozone crisis, but he digressed from the question and recounted the difference between him and Mahathir during the crisis.

The PKR de facto leader said he was unaware of Mahathir's action as he was jailed in 1999, and only discovered it during his consultancy work for the World Bank after he was freed.

“Wasn't that a paradox? Anwar who was accused as dependant of the World Bank decided to stop borrowing from the World Bank, but the guy who was anti-IMF and World Bank wrote quietly asking for funds,” he said.

Anwar was the finance minister from 1993 to 1998 under Mahathir's administration. Their mentor-protege relationship collapsed during the 1997 Asian financial crisis leading to the sacking of Anwar.

He was then found guilty of sodomy and power abuse which landed him behind the bars for five years until 2004.

Mahathir, who has been portraying himself as an anti-western imperialism leader, accused Anwar of selling out the country by accepting the austerity package prescribed by IMF.