Rafizi: Govt remains committed to improving welfare of the people despite debts, high expenditure

The Star

The unity government remains committed to carrying out various initiatives and programmes for the welfare and well-being of the people despite being burdened by debts and the huge cost involved in administrating the country, says Rafizi Ramli.  Speaking at the Madani Tour in Sungai Tua Sunday (July 30) night, the Economy Minister said the government has limited reserves since its revenue is only around RM300bil a year while the government would need to spend a huge sum for giving out subsidies, administrative costs and to pay interest on debts.  Read more at https://tinyurl.com/ya5hfuem  WATCH MORE: https://thestartv.com/c/news SUBSCRIBE: https://cutt.ly/TheStar LIKE: https://fb.com/TheStarOnline

Transcript

00:00 If people ask me, "Why don't you lower the oil price?"

00:06 "Why do you talk more about wages?"

00:11 "Why is the government's focus on new economic sectors?"

00:15 "Why don't we lower the oil price like in 2008, 15 years ago?"

00:25 First, the country's debt is 1.5 trillion.

00:33 We have to pay the debt.

00:37 So the government has to make choices.

00:39 I'll give you an example.

00:41 In 2020, we took over the federal government.

00:47 Do you know how much subsidy the government has to spend?

00:55 I'm not against subsidies.

00:58 When Dato' Sri Najib wanted to cut subsidies and lower the oil price,

01:05 I was the first to say that we have to maintain oil subsidies for the people.

01:12 But subsidies have to be balanced.

01:16 So, for 2.5 ringgit, how much subsidy does the government have to pay for every liter of oil?

01:25 I know this, but I'm just making it up.

01:29 Because life is a game of hide and seek.

01:32 How much subsidy does the government have to pay for every liter of oil?

01:40 1 ringgit.

01:43 The oil price of 95 ron that we pay now is only 2/3 of the actual price.

01:53 The actual price is around 3.10 ringgit.

01:57 If we want to lower the oil price,

02:03 we have to look at the amount of money the government has to spend to maintain the price of 2.5 ringgit for every liter of oil.

02:19 For 95 ron, it's around 25 billion a year.

02:27 Last year, the subsidy for 95 ron, diesel and electric oil,

02:35 was more than 80 billion a year.

02:39 How much is the government's income?

02:44 Around 300 billion.

02:47 Including taxes, it's around 300 billion.

02:50 So, if the government has to pay 80 billion for subsidies,

02:56 and pay interest on debts, it's around 30 billion.

03:01 Paying salaries for all the workers, it's hundreds of billions.

03:06 Paying for the government's rent and expenses,

03:10 in the end, the money is all gone.

03:14 So, how do we help the people to raise their salaries?

03:19 How do we help the people to build more houses?

03:24 How do we build a program to help the poor,

03:29 which will change the lives of the people?

03:32 That's why, in the current situation,

03:34 the price of crude oil is 80 dollars per ton,

03:38 which means that the government has to pay 1 ringgit for every liter of oil,

03:43 to maintain the price of 2.5 ringgit.

03:46 If we want to win the election, it's easy.

03:50 I and Datuk Sri Anwar Ibrahim said,

03:53 "Let's lower the price of crude oil to 20 ringgit."

03:56 "Then everyone will vote, God willing."

03:59 But, it means that there will be salaries cut.

04:05 There will be poor households that are not running.

04:11 Water supply in Kelantan, Sabah,

04:15 water supply in Selangor, we can't fix it.

04:19 We can't help the children who go to university.

04:23 So, my friends told me,

04:25 which one is more responsible?

04:28 Using money, like they did to get into the last 15th PRU,

04:34 especially in Tengganu, to win?

04:37 Or are we forced to campaign like now,

04:42 to make the people aware

04:46 that we shouldn't take shortcuts to solve the problem.

04:51 We reach the debt level of 1.5 trillion.

04:56 Subsidy, we can't do anything else, 80 billion.

05:00 Debt up to 30 billion, we have to pay it every year.

05:04 Because the previous governments took shortcuts.

05:10 If we want to win, we have to give money.

05:12 To show that the economy is growing,

05:15 make big projects,

05:17 make 1MDB, ECRL, MRT.

05:21 While all those projects are in loss,

05:24 and we have to bear the debt for 40 years.

05:30 So, if you are in my place,

05:34 like Dato' Sri Anwar,

05:37 like the national GPS and GRS,

05:42 we are united by one goal.

05:46 We can't do that anymore.

05:48 If we have to get in,

05:50 we have to convince the people,

05:52 we have to teach them,

05:54 so that we can be a little bit smarter,

05:57 to make us happy,

05:58 we have to do it.

06:00 Because we have seen how the people,

06:03 when they are involved in giving money,

06:08 promises to enter heaven,

06:11 easy questions,

06:13 the result we have seen in Kelantan.

06:16 We have seen it.

06:18 It doesn't go anywhere.

06:20 And one day we will win.

06:22 I am sure we will win in Kelantan.

06:25 If not now,

06:26 election day will come, we will win.

06:29 Because it is impossible for Kelantanese people,

06:32 to bear the Starbucks for another 5 years.

06:36 Impossible for Kelantanese people,

06:38 to see how hard life is,

06:40 compared to Selangor,

06:42 the job opportunities are more in Selangor,

06:44 young children in Kelantan,

06:47 all live in Selangor.

06:49 Parents have to wait,

06:50 their children have to wait for the election day.

06:53 When the election day comes,

06:55 the whole country will be jammed,

06:56 because all the young children live outside.

06:58 I am sure Kelantanese people can see it.

07:01 But,

07:03 when we take over the government,

07:05 for example, the state of Kelantan,

07:08 we take over in a bad situation.

07:11 The debt is high.

07:13 We have to spend a lot.

07:16 In fact,

07:18 if we start from now,

07:21 I am sure we can change little by little,

07:26 even though it is hard.

07:29 Thank you.

07:31 [END]

07:34 [END]

07:37 [BLANK_AUDIO]

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