The Federal Government is currently shouldering nearly RM1 billion annually in debt linked to the Federal Land Development Authority (Felda), which Prime Minister Datuk Seri Anwar Ibrahim said stems from past administrative weaknesses.
Anwar, who is also Finance Minister, said the responsibility to service the debt now falls on his administration to ensure the continuity of Felda and the welfare of settlers is not affected.
He said Felda was once well-managed but began to decline following changes in its leadership and governance, which eventually caused significant financial strain on the institution and its settlers.
“Every year I have to pay almost RM1 billion in debt. What is the fault of the settlers? During the time of Raja Alias, it was managed well. After that, things deteriorated. The ones paying now are the settlers and the government,” he said.
Anwar made the remarks at a youth dialogue programme in Felda Ulu Tebrau, Johor, which was also attended by Pakatan Harapan candidate for the Puteri Wangsa state seat, Dr Maszlee Malik.
In the same event, the Prime Minister expressed confidence in Johor’s future growth, citing strategic initiatives such as the Johor–Singapore Special Economic Zone (JS-SEZ), which is currently being implemented.
He said Johor’s strategic location and strong potential position it as a key economic driver not only for Malaysia but also for the wider regional economy.
Anwar also reiterated his belief that Johor could develop into a major economic hub similar to Shenzhen in China.
While highlighting major federal projects such as the RTS Link and the Automated Rapid Transit (ART) system, he stressed that the needs of ordinary citizens must not be overlooked.
He said economic development would be meaningless if rural and marginalised communities continue to face hardship.
Anwar added that reforms at the state level are necessary to ensure that the welfare of the poor remains a priority in Johor’s development agenda.
The dialogue programme was part of his campaign trail for the Johor state election, which involves multiple stops across the state.
A total of 172 candidates are contesting the election, with polling day set for July 11 and early voting on July 7.
