Fahmi: Felda's debts were only paid this year

Felda’s debts to various creditors were only paid by the federal government this year, two years after the troubled agency waived the debts of Felda settlers.

In a statement today, Communications and Digital Minister Fahmi Fadzil said the Muhyiddin Yassin administration had promised the waiver in 2021 and Felda initiated the waiver process that same year.

However, it was only last month that Putrajaya actually arranged for the necessary funds to make the waiver possible.

“In conclusion, Felda’s debts were not paid for by the federal government until June 26, 2023,” Fahmi (above) said.

Muhyiddin and Prime Minister Anwar Ibrahim are currently embroiled in a war of words over who should be credited for the RM8.3 billion debt waiver for Felda settlers.

The scheme was promised by Muhyiddin in 2021 but it left Felda with a massive cashflow problem.

Anwar argued that it only materialised this year because he arranged the funds to resolve Felda’s debt woes.

However, Muhyiddin has argued that the two matters were unrelated prompting Anwar to furnish two documents which he claimed would show otherwise - a Financial Service Reserve Account (FSRA) agreement and a sukuk issuance letter.

Under the FSRA, Felda will receive RM990 million in grants per annum for 10 years.

In a statement yesterday, Felda argued that there were no contradictions between what Muhyiddin promised and what was later stated by Anwar. - Mkini