Malaysia Taps Public Euphoria to Reduce Nation's Debt Burden
- Govt to collect donations via Tabung Harapan, or Fund of Hope
- Mahathir scrapped projects, cut salaries to shore up budget
Mahathir Mohamad
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Malaysia is tapping public euphoria to raise funds and reduce the country’s 1 trillion-ringgit ($251 billion) debt burden, after a shock election victory this month toppled the previous government.
The finance ministry set up Tabung Harapan, or the Hope Fund, for citizens who were eager to contribute after the government said Malaysia’s debt was higher than previously disclosed by the previous administration. Prime Minister Mahathir Mohamad has scrapped multibillion-dollar projects, cut ministerial salaries and dismissed thousands of contract workers to shore up the budget.