Posted on 28 Jan 2016
Najib, who announced the country's Budget 2016 revision today, said the economic growth forecast as measured by gross domestic product (GDP), assumed Brent crude oil prices at between US$30 and US$35 a barrel.
He said the Budget 2016 revision was to "ensure Malaysia's economic growth stays strong and people's welfare was taken care of."
"The country's debt will continue to decline and will not exceed 55% of GDP. The government will not impose capital controls and peg the ringgit," Najib said.
Under the budget revision, Najib said the government aimed to achieve fiscal deficit at 3.1% of GDP in 2016.
The new 2016 GDP growth forecast compares with the initial 4% to 5% expansion announced last year.
Today, Najib, who started announcing the budget revision at 12 noon, said the government planned to cut employees' contribution to the Employees Provident Fund by 3% between March 2016 and Dec 2017.
The government will also maintain the goods and services tax at 6%, according to him.
