ONE of Prime Minister Najib Razak’s major milestones before the next general election and a cementing of Malaysia’s prominent role in China’s One Belt One Road (OBOR) project will be launched next week.
The groundbreaking ceremony of the East Coast Rail Link (ECRL) – the biggest OBOR project in Asean – will be held in Najib’s home state of Pahang on August 9. It will be witnessed by President Xi Jinping’s special envoy and a delegation comprising senior government officials from Beijing.
For Najib, this multi-billion ringgit infrastructure project gives him an opportunity to trumpet his administration’s ability to attract investment from the global economic power.
The launch of the project also gives the beleaguered leader a breather from the shadow cast by the inability of the government to meet its obligations to Abu Dhabi’s International Petroleum Investment Co. (IPIC) and the French probe into kickbacks in a submarine deal when he was defence minister.
Within the Najib administration, there is hope that the multi-billion ringgit project will create economic opportunities and jobs, not to mention contracts for second tier or third tier contractors, many whom are part of the ruling party ecosystem.
China is also expected to promote the ECRL as its most important and strategic project in the region, a land bridge connecting the South China Sea and the Straits of Malacca.
The Najib administration had wanted President Xi to attend the project launch but China’s top leader is not expected to make bilateral overseas visits until the communist party elections in China are concluded.
Putrajaya is hopeful that he will visit KL in November, sources said.
The RM55 billion ECRL is a 600km railway project starts from the Klang Valley, cuts through Pahang, Terengganu and ends in Kelantan, connecting towns such as Port Klang, Bentong, Mentakab, Kuantan, Kemaman, Kerteh, Kuala Terengganu, Kota Bharu and Tumpat.
The ECRL project launch comes at a time when Putrajaya confirmed that debt-laden 1Malaysia Development Berhad (1MDB) had missed a US$603 million (RM2.57 billion) payment to IPIC last month.
1MDB was Najib’s ambitious plan to invest in land and utility assets in Malaysia but the company took on more debts and had cash flow issues apart from being mired in controversy over money being allegedly siphoned off to several private accounts.
The country’s sixth prime minister is also facing criticisms over extending the term of two top judges in the country apart from possible political fallout over a former aide who has been indicted in a French court for a corruption scandal in Malaysia’s €1 billion (RM5.08 billion) submarine purchase deal. – August 4, 2017.
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