PUTRAJAYA is seeking parliamentary approval for RM19.6 billion as the previous Barisan Nasional (BN) government did not allocate enough funds for its 2018 budget, Finance Minister Lim Guan Eng told Dewan Rakyat today.

BN’s federal budget allocation for 2018 was at RM280 billion but actual spending on development and operations was RM289 billion, he said.

The government also had to bear “off-balance sheet” debts incurred by the BN administration, he told the house today when tabling the Supplementary Bill (2018) 2019 for RM4.133 billion during its second reading.

Lim also tabled for second reading, the First Supplementary Development Expenditure Estimates for RM15,485.4 million.  

“The increase in expenditure is because of commitments made by the previous government that were not reflected in the federal allocation for 2018, and also to pay off-balance sheet debts.

“Overall, the actual expenditure for 2018 for development and operations is RM289 billion and not RM280 billion that was approved.

“It must be stressed that the increase in expenditure is due to the actions of the previous government and not by Pakatan Harapan,” said Lim.

The request for additional funds are to cover, among others, the RM1.4 billion Eastern Dispersal Link Expressway in Johor, RM1 billion for a double tracking project, and loans for highway and sewerage projects.

“The previous government did not prepare enough allocation for operating expenditure even though there were many contractual services such as support services for hospitals at RM500 million, cleaning and security contracts for schools at RM300 million, and aircraft maintenance services for the Royal Malaysian Air Force planes at RM100 million.”

Among the ministries and government bodies that needed additional funds for development expenses in 2018 were the Health Ministry (RM705.6 million), Home Ministry (RM513.9 million), Education Ministry (RM300 million), Defence Ministry (RM226.2 million), Prime Minister’s Department (RM215.4 million), Election Commission (RM98.5 million), Treasury (RM76.3 million), Foreign Affairs Ministry (RM70.4 million); and Malaysian Anti-Corruption Commission (RM5 million).

As for off-balance sheet payments, Lim said these involved an additional RM1.1 billion for debts to private finance initiatives and RM2.5 billion to DanaInfra Nasional Bhd.

In 2018, the government also had to bear RM1.6 billion to guarantee the bond coupons and sukuk by 1Malaysia Development Bhd that did not involve funds approved by Parliament.

The Finance Ministry’s motion for the addition funds was seconded by Entrepreneur Development Minister Mohd Redzuan Mohd Yusof.

Lim is to complete winding up the bill this afternoon before the house votes on it today. – April 2, 2019