KUALA LUMPUR, Nov 3 — Transport Minister Anthony Loke said that the Malaysian government will honour all contracts signed under the previous administration.
The DAP secretary-general stressed to investors that the government of the day will honour all contracts signed for infrastructure projects regardless of any future government changes.
“What we want to impress upon is that Malaysia will stick to the rule of law. The sanctity of the contract is important,” he reportedly told Bloomberg in an interview recently.
“Even though it's a different party, whatever contract signed by the previous government, we have to live with it. That is a guarantee by itself,” he added.
Yesterday, Loke had said the government intended to revive the Kuala Lumpur - Singapore high-speed rail (HSR) project under a new financing model with the involvement of private companies.
As for the East Coast Rail Link (ECRL) project, he said the government has decided not to make any changes to the alignment that was set by the previous administration.
He said making changes to the alignment would be "too disruptive and too much cost for the government to pay”.
