1MDB: Debts with local banks stand at RM5 billion - Najib

The government today revealed that the 1Malaysia Development Berhad (1MDB) debts with local banks has amounted to RM5.037 billion.

The Prime Minister Datuk Seri Najib Razak informed the matter in a written answer at the Dewan Rakyat citing that the debts were accumulated until January 2015.

“Until January 2015, 1MDB’s total debt with local banks are totaled at RM5.037 billion,” said Najib.

Najib, who is also the Finance Minister, was fielding a question posed by Pandan PKR Rafizi Ramli, on the state of affairs of the debt-stricken 1MDB with local financial institutions until January this year.

The government last week informed that it had injected RM950 million as standby credit before the company launches its initial public offering (IPO), and not a loan.

Second Finance Minister, Datuk Seri Ahmad Husni Hanadzlah said, 1MDB is expected to recover from its financial crisis by the end of 2015.