S&P ratings proof Guan Eng is wrong about Sarawak’s financial management, says Idris

Datuk Idris Buang

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KUCHING, Dec 26: The score given by S&P Global Ratings for Sarawak’s finances neutralises Finance Minister Lim Guan Eng’s statement that Sarawak will go bankrupt within three years.

The outstanding score of A- giving by the ratings agency will position Sarawak well within and outside the region, according to Parti Pesaka Bumiputera Bersatu (PBB) information chief Datuk Idris Buang in a statement today.

“The article defining Sarawak’s immaculate finance reputation by an international reputable independent financial pundits, clearly negates Lim’s negative remark about the state.

“With an “A-” rating by S&P Global Ratings, Sarawak’s stable financial outlook will place itself well in the eyes of potential investors within and outside the BIMP-EAGA region.”

Lim was reported as saying Sarawak’s coffers of RM30 billion would be exhausted in three years if ruling state coalition Gabungan Parti Sarawak (GPS) were to maintain Sarawak’s annual budget at RM11 billion, while attending Sarawak Democratic Action Party (DAP)’s fundraising dinner themed “Sarawak here we come” in Kuching on June 21.

Meanwhile, Idris said Sarawak’s strength will further solidify once the state’s transformation programmes aimed at stimulating the economy through various fields including high-tech agriculture and smart farming as well as oil and gas participation come to fruition.

The Muara Tuang assemblyman opined that the robust actions taken by Chief Minister Datuk Patinggi Abang Johari Tun Openg and his cabinet in beefing up infrastructure connections, supply of electricity and water amenities as well as IT coverage will contribute towards stimulating the economy on the domestic front.

“Financial prudence and good governance of the state government has been noteworthily acknowledged by global professional rating agencies.

“What were promised for the rakyat in the State Election of 2016 were carefully planned and implemented by the GPS state government in the best possible manner.

“This is the correct attitude of a responsible government and there is no doubt that the GPS state government is on track again to be the darling of the big majority of Sarawakian voters in the coming State Election,” opined Idris.

He asserted the reason for the huge support for the GPS government is because the coalition is “the only one 100 per cent local-based political coalition that has evidently been consistent to have honoured its manifesto with dedication and sincerity”.

“Furthermore, its quest to reposition Sarawak towards a better future in line with its rights under the MA63 (the Malaysia Agreement 1963), the State Constitution and ordinances like Oil Mining Ordinance 1958, Sarawak Sales Tax as well as the Federal Constitution would definitely enhance its place in the hearts of Sarawakians,” Idris pointed out.

Sarawak has been awarded an ‘A-‘ rating by S&P Global Ratings for its stable earnings outlook.

According to theedgemarkets.com, Sarawak was commended for its exceptional budgetary performance and liquidity that will likely mitigate its elevated debt, and support its creditworthiness.

S&P Global Ratings had also affirmed its ratings on Equisar International Inc’s (EII) US$800 million notes (due June 2026) and SSG Resources Ltd’s US$800 million notes (due October 2022) where Sarawak is the ultimate owner. — DayakDaily