Sri Lanka to save US billion from bilateral debt deal

COLOMBO: Sri Lanka will save US$5 billion following the restructure of its bilateral debt, much of which is owed to China, through slashed interest rates and longer repayment schedules, the president said Tuesday. The island nation defaulted on its foreign borrowings in 2022 during an unprecedented economic crisis that precipitatedContinue Reading

Sri Lanka signs debt deal with creditor nations in Paris

Sri Lanka’s president’s office announced on Wednesday ( Jun 26 ) that it had reached a deal with creditor nations to restructure about US$ 5.8 billion in bilateral debt, in a move that would help stabilize its hit-crisis-hit economy. The Official Creditor Committee ( OCC), which is co-chaired by Japan,Continue Reading

Malaysia, China mark 50 years of ties with deals on development, durians

During a visit by Chinese Premier Li Qiang to commemorate 50 years of diplomatic ties, China and Malaysia signed a number of agreements on Wednesday ( Jun 19 ).

Following his appearance in Kuala Lumpur on Tuesday, Li and Anwar Ibrahim met in the administrative capital of Putrajaya.

” China is ready to operate with Malaysia”, Li said in a speech, adding that target areas included development strategies, socially valuable co- operation, and exchanges to market the building of a China- Malaysia community.

After Wednesday’s finished- entry meeting, Li and Anwar witnessed the signing of more than a dozen pacts on co- operation in areas ranging from the modern economy to natural development, housing, tourism, and communications, among others.

The fresh five- year agreement that runs until 2028 provides for corporate cooperation in areas like as trade and investment, agriculture, manufacturing, infrastructure and financial services, a statement after the meeting showed.

The five-year program was initially introduced in 2013;

China also consented to the importation of raw durian from Malaysia once it meets hygiene standards, according to the statement.

Malaysia, one of the world’s biggest exporters of the curly, smelly fruit, was originally allowed to send only the total iced fruit and its products to China, with export valued at RM1.19 billion ( US$ 253 million ) in 2023.

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‘No choice’: Targeted diesel subsidies needed to save Malaysia, says PM Anwar

PUTRAJAYA: The&nbsp, Malaysian government’s decision to&nbsp, implement targeted diesel subsidies&nbsp, is necessary to save the country, Prime Minister Anwar Ibrahim said on Monday ( Jun 10 ).

Action must be taken, even though the estimate is unhappy, Anwar said during a regular council with workers from the&nbsp, Prime Minister’s Department.

Malaysia has started a more focused approach that focuses primarily on the poor by switching from expensive cover subsidies. &nbsp,

The nation, which subsidizes the price of corn, cooking oil, and other basic commodities in large amounts, has seen its rebate expenses rise to record levels in recent years as a result of rising commodity prices and stretched government finances.

Its fuel subsidy costs only has risen 10- slide from RM1.4 billion in 2019 to RM14.3 billion in 2023.

” Who wants this targeted payment? We must also be aware that whatever we do, we will face severe repercussions from all kinds of lies and libel,” said Anwar, who is also the financing minister.

” In truth, we have stated that prior to this, all prime ministers had endorsed the precise rebate, but because of the risks involved, there was no political will to put it into practice.” However, to save the state, we have no choice” .&nbsp,

On Sunday, Malaysia announced that the price of diesel in Peninsular Malaysia would increase by over 50 per cent to&nbsp, RM3.35 ( US$ 0.71 ) per litre. This took impact on Monday.

This is the unsubsidised business price&nbsp, based on the May 2024 regular according to the Automatic Pricing Mechanism method, said the country’s next finance secretary, Amir Hamzah Azizan. &nbsp,

” We are doing this because the leakages ( of subsidised diesel ) across our borders is huge”, he added. &nbsp,

Diesel likely be at RM2.15 per gallon in Sabah and Sarawak. &nbsp,

Diesel for reduced- money groups, including fishermen and farmers, as well as for the usage of school buses and ambulances, will continue to be subsidised, said Amir Hamzah, adding that the new strategy would certainly lead to an “escalation of prices”.

Cutting fuel subsidies is expected to save the authorities about RM4 billion annually&nbsp, and this move may improve the country’s economic status in the long term, he added. &nbsp,

According to analyst Oh Ei Sun of the Malaysian Pacific Research Center,” this government must take such an unpopular measure right away.”

Malaysia is expected to spend RM52.8 billion on subsidies and social assistance this year, down from about RM64.2 billion in 2023, based on its 2024 budget.

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Malaysia begins diesel subsidy reforms, prices to rise by about 50% on Jun 10

As the government begins shifting away from expensive blanket subsidies to a targeted approach that primarily aids the underprivileged, diesel fuel prices in much of Malaysia are expected to increase by about 50 % on Monday ( Jun 10 ).

Malaysia, which subsidizes energy, cooking oil, and corn among other basic commodities at record highs in recent years as a result of rising commodity prices and strained government finances, has seen its payment bill rise to record levels.

Its fuel subsidy costs only has risen 10- slide from RM1.4 billion in 2019 to RM14.3 billion dinars in 2023.

The government&nbsp, said last month&nbsp, its plan to cut fuel subsidies this year is expected to save about RM4 billion ( US$ 853.24 million ) yearly, with the benefits expected to be be- directed to low- money groups.

In a statement released on Sunday, the Finance Ministry announced that it would begin setting fuel energy costs in accordance with industry rates.

Starting at midnight, all petrol stations along the Peninsular Malaysia will start charging RM3.35 per gallon, according to the department.

In Indonesian states and territories on Borneo, as well as for qualified logistics vehicles, the president’s subsidised fuel power system, it will continue at RM2.15 per gallon.

According to the government, fishermen and land-based public transportation vehicles like school buses and ambulances have also been offered lower fuel prices.

The government will grant funds assistance to qualified Malaysians who own diesel cars, small-scale farmers, and product landowners in order to lessen the impact that might have on their incomes, according to the government.

Despite the subsidy cuts, diesel prices in Malaysia will remain among the lowest in Southeast Asia, with the fuel retailing at the equivalent of RM8.79 per litre in Singapore, RM4.43 in Indonesia, and RM4.24 in Thailand, the ministry said.

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