BANGI, Aug 8  — 1Malaysia Development Bhd (1MDB) has been given an extension to resolve the payment issue with International Petroleum Investment Co (IPIC), said Finance Ministry Secretary-General, Tan Sri Mohd Irwan Serigar Abdullah.

"We are asking for an extension which they have agreed and when the time comes, we will pay off,”  said Mohd Irwan Serigar, who is also 1MDB chairman.

He said 1MDB would sign another agreement for the extension of payment to IPIC.

"We are talking to IPIC to try arrange time to pay off. We will pay off to IPIC,” he said.

Irwan said this to reporters after launching the Home Price Checking System for Civil Servants here today.

On why it took time to pay off to IPIC, Irwan said: "It’s the selling of the units and there are some regulatory requirements and so on. 

"We need to comply with all these. It will take time which we didn’t foresee. So all this thing will be settled,” he said.

1MDB has previously written to IPIC to inform the Abu Dhabi-based company that the payment, originally due on July 31,  2017, will be paid in August 2017 instead as it awaits the necessary fund.

It was reported that the payment, amounting to US$603 million (about RM2.58 billion)  from 1MDB to IPIC, is part of a settlement over a debt dispute.