KUALA LUMPUR: Malaysiaâ€™s national debt is in the safe zone, said Minister in the Prime Ministerâ€™s Department Datuk Seri Abdul Wahid Omar (pic).
â€œCountries with a debt of over 100% of their gross domestic product (GDP) and deficit rate exceeding 4% are deemed to at a critical level.
â€œMeanwhile, countries with a debt of less than 70% of their GDP and deficit rate of less than 4% are said to be in the safe zone,â€ he said in Parliament on Thursday.
Abdul Wahid said Malaysia could be considered in the safe zone as the nation’s deficit rate had reduced in stages from 6.7% in 2009 to 3.5% last year.
â€œOur debt levels when taking into consideration the contingent liabilities, is 70%,â€ he said, adding that Malaysia was improving in terms of financial management.-The Star