KUALA LUMPUR: The government has assured that the RM9.5 billion Boeing aircraft purchase will not increase national debt or widen the fiscal deficit.
Deputy Finance Minister Lim Hui Ying stated the acquisition is part of the 13th Malaysia Plan (13MP).
“At present, everything is within our expectations,“ she said during a Dewan Rakyat session.
She was responding to Pasir Puteh MP Datuk Nik Muhammad Zawawi Salleh, who questioned debt control measures after the US deal.
Nik Muhammad had also asked why debt remains high despite geopolitical risks.
Lim explained that debt rises to fund development expenditures (DE) amid fiscal deficits.
“This financing will directly increase the government’s debt level as long as deficits persist,“ she said.
She clarified DE is funded through multiple sources, including taxes and non-tax revenue, not just borrowing.
Lim confirmed government borrowings stay within legal limits, with debt at 62.7% of GDP as of June 2025.
Offshore borrowings of RM22.8 billion remain below the RM35 billion cap under Act 403.
Malaysian Treasury Bills, at RM2 billion, are also within the RM10 billion limit set by Act 188. – Bernama
