The government has paid RM42 billion to settle 1MDB debts since 2018, but RM9 billion in obligations remain, requiring RM13 billion in public funds.
KUALA LUMPUR: 1Malaysia Development Bhd’s (1MDB) debts have not been fully settled, with total financial obligations exceeding RM50 billion, said Prime Minister Datuk Seri Anwar Ibrahim.
Anwar, who is also the Finance Minister, said the government has already paid RM42 billion to settle 1MDB’s debts (principal and interest) and commitments from 2018 to date.
“The 1MDB debt inherited since 2018 amounts to RM34 billion in principal value and involves interest commitments of around RM17 billion,” he said at the Prime Minister’s question time in the Dewan Rakyat today.
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Clarifying further, Anwar said only RM29 billion could be financed through funds derived from 1MDB asset recovery out of the RM42 billion paid by the government.
“This clearly shows that the asset recovery efforts are insufficient to cover 1MDB’s liability repayment commitments,” he added.
Anwar also said that the remaining 1MDB debt obligations require the use of government funds amounting to RM13 billion.
“This is a huge loss to the nation. The 1MDB debts have not been fully resolved, and 1MDB debt obligations of RM9 billion remain.
“This consists of the principal and interest of Islamic medium-term sukuk notes up to 2039, comprising RM5 billion in principal and RM4 billion in interest,” he said in response to a question from Syahredzan Johan (PH-Bangi). – Bernama
