PETALING JAYA, May 17 — Prime Minister Tun Dr Mahathir Mohamad said the Pakatan Harapan (PH) government will honour the agreements made with China.
Following concerns over the projects already inked with the country, Dr Mahathir said he would need to re-evaluate the contracts as these incur massive debt for the Malaysia.
“We have made it clear that we want to look into all these contracts again.
“This is because they are very costly for the government and we may incur huge debts that we cannot pay.
“But we will respect all agreements,” he said at a press conference after chairing the PH presidential council meeting at Parti Pribumi Bersatu Malaysia’s (PPBM) office here.
Dr Mahathir’s predecessor, Datuk Seri Najib Razak, initiated several China-backed infrastructure projects during his time in office, which the former has strongly criticised in the past.
Among the projects is the East Coast Rail Link, Malaysia’s largest single railway project, connecting Kuala Lumpur to the Thai border via Kuantan on the east coast.
The project alone is said to incur RM55 billion worth of debt.