(Updated 2:59pm, 28 March 2009)
KUALA LUMPUR, 28 March 2009: The government may allocate about RM200 billion more under the 2010 budget, raising the allocation to generate the national economy to about RM470 billion for the two-year period.
This followed the announcement of the allocation of RM206 billion under the 2009 budget by Prime Minister Datuk Seri Abdullah Ahmad Badawi as well as the two stimulus packages of RM7 billion and RM60 billion announced by Deputy Prime Minister Datuk Seri Najib Razak earlier.
Najib, who has been endorsed as the new Umno president, said the government was confident that the four packages of allocation totalling about RM470 billion would be able to generate the economy more effectively.
“However, the effectiveness of the allocations still depends on the economic situation abroad,” he said when winding up the debate on the motion on economy at the Umno general assembly 2008, here today. Najib is also the Finance Minister.
The debate on the motion on economy began yesterday with various issues raised including the economic crisis, government-linked companies (GLC) and transparency in expenditure under the two stimulus packages.
Najib also disclosed that a special website on the monitoring and spending of the stimulus packages would be launched within the next two weeks.
“Everyone can access the website to prove that our efforts are transparent and open. All this is done because of our concern that every sen spent would reach the target groups who need them,” he said.
The government had earlier set up the Project Management Unit to ensure that the implementation of the two Stimulus Packages went smoothly and according to schedule.
Najib said RM1.5 billion would be spent up to the end of next month and RM2.5 billion up to the end of May.
“They involved about 32,000 development projects which would involve class F contractors, who are also the loyal supporters of Umno.”
With regard to the GLCs, he refuted the claim that a certain individual was made a director of 60 companies.
“I have checked the claim. This is not possible because under the present regulation, an individual can only be a director of 10 public-listed companies and 15 private limited companies.
“Let me know if there is such a case. I won’t allow it to happen,” he said to loud applause from the delegates.
Najib said the government would continue with programmes for the prosperity of the people such as the social security network under the present economic slowdown.
He said that for this year alone, the government had allocated RM27.9 billion in the form of subsidies including for petrol, diesel, cooking gas, wheat, bread, sugar, flour, rice, text books, scholarships, education, health, welfare, and highway toll. — Bernama