'New gov't but 1MDB's shadow over country will persist'

Malaysia may have a new government but the 1MDB affair will continue to cast its shadow over Malaysian taxpayers for a long time to come.

Finance Minister Lim Guan Eng's special officer Ong Kian Ming (above) today said the amount of debt Putrajaya has to foot on behalf of 1MDB was significantly higher than the previous BN government had let on.

"I think in terms of 1MDB's total debt, it is up to RM38 billion and I think the last payment is due only in 2039.

"So, we are going to be living in the shadow of 1MDB for quite some time," said the Bangi MP.

Ong said the priority in the near term was to get a hold on the real financial position of 1MDB.

He also addressed former prime minister Najib Abdul Razak's insistence that he had been forthcoming about the level of the country's debt, to which Ong said this was "BS".

"One easy example was the commitment the current government has in terms of repaying the debt servicing charges and debt for 1MDB.

"The Najib government had never been transparent about this before. Under government guarantees, only RM5.8 billion worth (of debt) in 1MDB was in the official books.

"But now, when we open up the books, we realise that 1MDB's debt is as high as RM38 billion, the total commitment that the Malaysian government now has," he said.

Ong said Najib had been "delusional" about the state of the country's debt.

"He still hasn't gotten grips on the real situation in the country," he said. -Mkini