Najib, dont play play! Later we can't even afford to eat "kangkung' !

According to Kini News,

Malaysia's external debt has tripled to a whopping RM740 billion in the third quarter of 2014 from RM196 billion at the end of 2013.

 

This is the Malaysia GROSS "External Debt" which INCLUDES BOTH Government as well as the Private Sectors total 'foreign debts' as well.

Much of Federal Government Bonds or Debt Securities in Malaysia are HELD by Foreigners or even Foreign Financial Institutions operating in Malaysia.

Whereas many local companies have sought to raise their Finances by borrowing from abroad or for International companies with subsidiaries or branches operating in Malaysia either borrow DIRECTLY from their parent companies or use their parent company or Regional Headquarters to assist them in raising finances from abroad as some companies find it DIFFICULT to raise finances locally, as much of the Capital has been CROWDED OUT by the Federal Government or by Government Linked Corporations ( GLC's ).

Another worrisome factor is that one of the BIGGEST borrowers are in fact are locally operating Banks & Financial Institutions which borrow from abroad to give-out SHORT TERM Loans in Malaysia ( loans which mature within a period of 3, 6, 9 to 12 months ).

This factor does pin-down and weigh-in more pressure on the Ringgit especially when the Ringgit depreciates in value, the COST or repaying or servicing these loans from both Private Companies as well as locally operating Financial Institutions go up...ADDING the perceived RISK towards our Ringgit Currency.