RM5 Billion in Loans Redirected to Finance Northern Perak Water Supply Scheme

PETALING JAYA: A total of RM5 billion in loans originally allocated for the Trans-Sabah Gas Pipeline (TSGP) and Multi-Product Pipeline (MPP) projects, which were terminated in 2018, has been redirected to finance the Northern Perak Water Supply Scheme (NPWSS).

Prime Minister Datuk Seri Anwar Ibrahim said the arrangement was finalised through negotiations by the MADANI Government, allowing the funds to be utilised for the development of essential public infrastructure.

He said he witnessed the signing of an agreement between Suria Strategic Energy Resources Sdn Bhd (SSER) and the Export-Import Bank of China (CEXIM) today for the redirection of the loans.

“Following the termination of both projects, the country remained obligated to repay loans amounting to RM8 billion, even though the projects were not implemented.

“The redirection of RM5 billion will help reduce losses arising from the previous projects while allowing the funds to be used to finance the NPWSS,” he said in a Facebook post today.

The Prime Minister said the scheme is expected to strengthen long-term water supply for domestic, agricultural and industrial use in Perak and Penang.

“National progress must translate into guaranteed access to basic necessities and improved well-being for the people,” he said.

UTUSAN MALAYSIA