atuk Seri Abdullah Ahmad Badawi today said Malaysia can withstand the impact of the current global economic situation and that it will not go into a recession.
The Prime Minister believed Malaysia would be able to weather the storm brought on by the U.S. credit crisis as it still had strong economic fundamentals as well as being politically stable.
“We have very strong reserves, our surplus is still strong, our domestic savings are also very high and our currency is also stable and not subject to fluctuation,” he said.
“There is also no intention to re-introduce capping on our currency.
“We have the strength and the resilience of Malaysians as we have faced it before and our banking system is still strong, there’s stability in the country and predictability in terms what’s going to develop politically,” he told reporters here.
Abdullah was responding to a question on Malaysia’s current economic situation as neighbouring countries such as Singapore were now experiencing the impact of the global economic slowdown.
“I’m not saying it’s going to be easy, it’s going to be tough but if we stand together, the rakyat supports the government and we can continue to work well with the private sector as a unit, all must face this problem, I think we should be able to go through the storm.”
“A little bit of damage but we’ll be okay,” he said.
Abdullah also expressed his confidence in his deputy Datuk Seri Najib Tun Razak’s ability as his chosen successor, to lead the country successfully.
“I believe Datuk Seri Najib will provide good leadership when he takes over the government,” said Abdullah.
Earlier, Prime Minister delivered a keynote address at the U.S.-Islamic World Regional Forum.