KUALA LUMPUR: A policy on capping government-guaranteed loans should be established, said the Auditor-General’s Report for the federal government’s financial statement for the year 2018. This, it said, should be done by taking into consideration the country’s financial position and the companies’ financial capabilities as well as the competitiveness of the firms they would be funding. “The government has settled RM2.839 billion in loan repayments in 2018. Of the total, RM1.753 billion was settled by the previous administration, while RM1.086 billion payment was made by the current government. According to Section 8 of the Loans Guarantee (Bodies Corporate) Act 1965, companies have repayment obligations to the government for the amount that the latter had settled, read the report.

Source: New Strait Times October 14, 2019 06:00 UTC