Gamuda falls 6.05% after HSR scrapped and rating downgraded

Glen Norman
May 30, 2018

The International Court of Justice (ICJ) in that same ruling awarded to Singapore Pedra Branca - referred to in Malaysia as Pulau Batu Puteh (White Stone island).

A significant part of the court's original decision was premised upon the fact that sovereignty over the isle, on which the 19th century Horsburgh Lighthouse is located, tacitly passed onto Singapore as a result of its long-standing control of the outcrop and the waters around it without such actions being challenged by Malaysia. Najib said this is because the project was not created based on the decision of one country alone, but done after careful study on its benefits.

"This includes the land acquisition cost to be paid to Malaysians based on the worldwide rating", he said.

Najib also expressed his shock over Prime Minister Mahathir Mohamad's statement that Malaysia would not get a single cent from the HSR project.

Tun Dr Mahathir Mohamad, the 92-year-old who triumphed over scandal-plagued Datuk Seri Najib Razak in a general election this month, has made it a priority to cut the national debt and pledged to review major projects agreed by the previous government.

Mahathir had revealed this decision in media interviews in the last few days, and on Wednesday, following the cabinet meeting, confirmed that the decision was final. It is going to cost a huge sum of money.

He questioned the need for the project in the first place, saying "it is not going to serve any objective, it is not going to give us any returns".

"We have borrowed too much money".

Mahathir has reopened an investigation into 1MDB following his election victory.

Jurong Lake District is where the terminus for the high speed rail was to have been sited - into Singapore's second central business district.

"The government should tell us how they came to the figure of RM110 billion".

Implying that the stunning election upset he led across the causeway may have a ripple effect in Singapore, Dr Mahathir said: "I think the people of Singapore, like the people in Malaysia, must be exhausted of having the same government, the same party since independence".

The finance ministry said in a statement the Malaysia Hope Fund would provide a systematic and transparent platform to manage all public donations.

Both developments are likely to alarm the Singapore government, already wary of Mahathir's return as ties between the neighbours were famously stormy during his first stint as premier from 1981-2003. Minister of Finance, Lim Guan Eng ends the statement by expressing their honest appreciation and gratitude to all Malaysians for all their support and concern.

The planned double-track link between the Malaysian capital city of Kuala Lumpur and Singapore was set to connect the two in 90 minutes with seven stations in Malaysia and one in Singapore.

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