It's not you, it's us, PM tells China investors anxious about Harapan gov't

Prime Minister Dr Mahathir Mohamad today moved to soothe the anxieties of Chinese investors over the regime change in Malaysia after the May 9 polls.

Speaking at the China Entrepreneur Club Leaders Forum in Beijing, Mahathir said the new Pakatan Harapan administration’s decision to review certain projects was not directed against China, but its BN predecessors.

“I explained just now what Malaysia means by FDI. It is about foreigners coming in with technology, to set up plants in Malaysia and employ Malaysians to produce goods.

"But when the (previous) Malaysian government borrows money to build infrastructure that it cannot afford, that is of course not good for Malaysia,” he said.

"It is not about the Chinese, it is about the (previous) Malaysian government. They borrowed a huge sum of money and now we have problems trying to repay the money that they have borrowed.

"That is not FDI. That is Malaysians playing around with money without even doing proper feasibility studies and due diligence.”

Mahathir was responding to a question from the floor which raised concerns over the Harapan administration’s move to review certain projects, and questioned whether Chinese investment was still welcomed in Malaysia.

"That is why we have to relook these borrowings and projects, which in any case will not be beneficial for our economy.

"Maybe later (it will be), but at the moment, the borrowing of Malaysian government is not only from China but other countries as well. It's so huge that we will have difficulty repaying it, even to service the loans will cost a lot of money," he pointed out.

The prime minister also noted that although Malaysia may be generating a lot of money, that income is being used to pay off debts which the government should never have taken on.

"We are not against China companies, but we are against borrowing money from the outside, and doing projects which are not necessary and very costly.”

Mahathir also brought up the shared history of Malaysia and China in his speech, stressing that there has never been any confrontation in the over 2,000-year relationship.

He said that the two countries have always been able to live as independent nations, and that he believes the close relationship will continue to flourish in the years to come.

"With both countries focusing on economic development rather than confrontation, and continuing to grow as a result of economic management, we will be able to complement each other.

"I welcome investors to come to Malaysia; not just tourists, but those looking for opportunities to invest in Malaysia for the good of Malaysians and for the good of China." -Mkini