Najib: No need to panic, we will weather global financial crisis

The Government will announce on Monday new measures to strengthen the economy to withstand the global economic crisis, said Finance Minister Datuk Seri Najib Tun Razak.

Speaking to reporters in his Parliament office, Najib said that a “stabilisation plan” was being worked on.

“I want to assure the public that the Government is on top of the situation. Although it is serious, there is no need for us to panic,” he said.

Najib said the situation in Malaysia was not as bad as other countries but added that the global economic crisis would certainly impact negatively on the economy.

“As far as we are concerned, this year we should attain the expected 5% growth. We are also not facing recession this year.

Najib said the Government did not need to re-table the Budget as suggested by Opposition Leader Datuk Seri Anwar Ibrahim.

“That proposal is not an appropriate one to tackle the crisis. Some of the figures in the Budget may have changed, but it is not necessary to re-table the Budget.

“What is important is for the Government to continue spending so that it creates domestic growth and consumption.”

He added that the Government would continue to help the low-income group.

Whether the Government could still meet the 4.8% Budget deficit considering the reduction in crude oil and palm oil prices, Najib said the figures would be revised at the appropriate time.

When asked whether interest rates would be lowered, he said it was not his policy to interfere, adding that he would leave it to Bank Negara to decide.

“Depositors should also not worry about their money in the banks as there is enough liquidity in the banking system,” he said when asked whether there was a need to guarantee bank deposits.

When asked about Opposition claims that the RM2.3bil Eurocopter deal was higher than other tenders, Najib said: “I will explain in full in Parliament.”

As he was walking way, Najib continued, saying that whatever that had been said was wrong.