“The Budget for 2011 has all of the attributes of a blunt tool for distributing public funds to UMNOputras, BN cronies, and vested groups that constitute the vote bank of the Barisan,” the influential opposition party’s adviser said in a media statement.
The Ipoh-Timur MP (picture) pointed out that Prime Minister Datuk Seri Najib Razak had failed to incorporate the economic reform measures recommended by its hired think tank.
Instead, he accused the government of continuing to dole out mega projects to Umno-friendly corporate chiefs in return for their support during election time, applying the same political playbook that characterised former premier Tun Dr Mahathir Mohamad’s 22-year tenure, from 1981 to 2003.
“The Budget provides in rather stark terms confirmation of the fact that the prime minister is indeed consistent,” he added, castigating Najib for putting party interests ahead of public interests.
“The timing is indeed not a coincidence as it is ahead of the impending general election,” the federal lawmaker added, referring to the upcoming 13th general election which must be held by 2013.
Citing the RM5 billion 100-storey Warisan Merdeka tower to be built at Stadium Merdeka and the RM40 billion MRT (Mass Rapid Transit) train project to be launched next year, Lim said the spending is not being channelled into projects and activities that will raise Malaysia’s value globally.
He lashed out at the Najib administration for adopting an “ostrich-like approach” on critical economic issues, notably the weak flow of foreign direct investments (FDI) into the country and the loss of local talent.
He also pointed out that Najib had chosen to “ignore” international economic watchdog, IMF’s warnings that capital spending is expected to increase and would dampen the effects of any “budgetary gains” if Putrajaya continued to apply only cosmetic economic reforms.
“What the Prime Minister failed to disclose in his speech was that net domestic borrowings by the federal government would rise to RM51.1 billion in 2011, from RM36.5 billion in the current year,” Lim said.
He added that the 40 per cent jump in borrowings was a significant figure and accused Putrajaya of misleading the nation and lulling it into a false sense of economic security.
“What is becoming clear is that the Government is embarked upon a dangerous path of massive borrowing and spending,” he warned and remarked that that the nation’s future was being sacrificed for the benefit of a select group in power to keep them in power.
