EVERYONE IS WORRIED: Instead of playing golf, Najib told to detail how he plans to shield economy from oil price slump

DAP has urged Prime Minister Najib Razak to convene a special parliamentary sitting to explain how the current falling world oil prices is affecting the country’s finances and how he plans to deal with it.

DAP Segambut MP Lim Lip Eng said Najib’s 2015 budget announced last year estimated 30 percent of the RM235.2 billion estimated revenue would come from petroleum.

“We are concerned the effect the current falling prices will have (on revenue) will affect the administration and growth of the country’s economy, particularly in relation to this year’s budget,” said Lim in a statement today.

Najib, he said, needs to come clean with the public what effect of the world oil market situation is having on the country’s economy.

“With a drop of over 50 percent today in oil price, Najib really needs to hold a special parliamentary sitting to table what plans he has to overcome the situation, following Credit Suisse’s suggestion yesterday for Malaysia to revise its budget,” he said.

The Edge yesterday reported Credit Suisse director and head of Malaysia equity research Tan Ting Min calling on the government to revise its budget as it had originally been made on the assumption of oil price at USD100 per barrel.

Tan said it would be "very difficult" for the government to hit its fiscal deficit target of 3 percent this year in light of the pricing slump.

Lim said under such conditions, "The PM and the cabinet cannot take the attitude of indifference as if nothing is wrong in the face of a potential economic crisis by year end."

Pointing out the largest portion of the budget is administrative expenditure, Lim said Najib must ensure that the civil service is not threatened financially by the latest development. - M'kini