Thursday 25 Apr 2024
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SHAH ALAM (Nov 25): The first deficit budget tabled by the Pakatan Rakyat-led Selangor government has raised concerns from the state opposition, namely Barisan Nasional's representatives, that it may drag the state into a financial crisis.

"Should Selangor Menteri Besar Azmin Ali fail to boost economic growth with his new approaches, the state will be risking a financial problem," said opposition leader Datuk Mohd Shamsudin Lias said when debating the state's 2015 budget in the state assembly today.

However, he admitted that having a deficit Budget is normal, and that the state had been having a deficit budget since 2008. The state, he said, recorded a RM120 million deficit in 2009, which rose to RM210 million in 2010 and then lowered to RM201 million in 2011. The number, he said, was further narrowed to RM167 million in 2012, but ballooned to RM761 million in 2013.

"As such, I am waiting to see it [Azmin's preference of not tabling a Supplementary Supply Bill to seek more allocation] become a reality," he added.

In tabling Budget 2015 yesterday, the Selangor government tabled the largest budget in the history of the PR-led state, at RM2.42 billion, of which some 46.81% or RM1.13 billion has been earmarked for development - the biggest portion to date.

This is on the back of a 6.49% increase in projected revenue to RM1.97 billion.

Azmin had said he was focusing more on the state's development and believed it would spur economic growth and bring in more income eventually. 

On the affordable housing, Shamsudin claimed the state government has failed to deliver its promise to the rakyat, especially those earning low to middle income, to own homes.

According to him, the state had announced that it would build 30,000 affordable housing units by 2018 when launching the new housing concept in 2012. 

"However, the number has now been reduced to 15,000 units, 20,000 lower than their initial target of 30,000 units," he said.

"Are they trying to cover their inability in delivering their promises? If you can't achieve your target, you should not set a high target," he said, adding that the state should work closely with the federal government to jointly implement affordable housing projects.

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