KUALA LUMPUR (Oct 17): Finance Minister Lim Guan Eng today assured that the Pakatan Harapan government will not compromise on economic growth to adhere to the 2.8% fiscal deficit target this year.

He said this is to ensure that the welfare of the people, especially that of the Bottom 40% (B40) group, is taken care of.

“We don’t want to just adhere to the fiscal deficit target blindly, just to please investment funds, but sacrifice economic growth which will affect the people’s welfare. If there is a trade off between economic growth and fiscal deficit, we will definitely give priority to the former, this is our approach,” he told reporters at the Parliament lobby today.

The government has been ready to sacrifice tax collection through the abolishment of the goods and services tax because it helps reduce the people's burden, especially the B40 group, Guan Eng added.

"So when there is a necessity, we can make sacrifices. We are not adhering strictly to the fiscal deficit target because we want to ensure sustainable economic growth can be continued."