07 Oct '11, 10pm

Goodies galore in Malaysia's pre-election budget

KUALA LUMPUR - Malaysia will raise spending next year, with cash handouts to the needy, more money for civil servants and a fund for "high-impact development" projects as part of measures to put cash in the pockets of voters ahead of a general election expected next year. Prime Minister Najib Razak (picture) yesterday proposed a RM232.8 billion (S$95 billion) budget for next year, with plans for housing, infrastructure and rural projects to help the economy expand. Growth is expected to be between 5 and 6 per cent next year. But he lowered this year's forecast from 6 per cent to between 5 and 5.5 per cent. In a clear sign that elections are near, he announced no new taxes but said the government will increase from 12 per cent to 13 per cent the contribution from employers to the Employees Provident Fund. Fuel and other subsidies will also be maintained. To help the needy c...

Full article: http://www.todayonline.com/World/EDC111008-0000056/Goodie...

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