FORMER Bank Negara Malaysia governor Zeti Akhtar Aziz said the central bank remains a strong institution amid a leadership vacuum with the resignation of its governor Muhammad Ibrahim.

She declined to comment on the circumstances of his resignation that was confirmed by Prime Minister Dr Mahathir Mohamad today.

Zeti said people should instead wait and see who the next governor would be.

“I’ve given my reaction to the people involved.

“All I’ll say is, the central bank is a solid institution and it serves the people,” she told reporters at Ilham Tower after attending meetings by the Council of Eminent Persons, of which she is a member.

A Najib Razak appointee, Muhammad was Zeti’s successor and became governor in May 2016.

He has in recent days become the target of scrutiny after the council’s chairman Daim Zainuddin raised questions over the bank’s RM2 billion land purchase from the previous government.

The Pakatan Harapan government said former prime minister Najib had used the money from the sale to bail out 1Malaysia Development Bhd (1MDB).

Muhammad has insisted that the deal was above board and the central bank had no knowledge of the 1MDB connection.

Dr Mahathir Mohamad earlier today said the Yang di-Pertuan Agong’s consent was needed before an announcement on the new governor could be made.

According to Reuters, former Bank Negara Malaysia deputy governor Nor Shamsiah Mohd Yunus is tipped to succeed Muhammad. – June 6, 2018.