A Singapore business newspaper has unearthed a discrepancy in the allocation for development spending that derails the figures that determined budget deficit. Economists are asking: Is Abdullah's budget deficit actually shrinking or soaring?
"the discrepancy is between figures in the Treasury's Economic Report (2007/2008), read in tandem with the Budget, and Abdullah's actual budget speech.The Economic Report and Abdullah are consistent in that -- despite the record spending at RM176.9 billion -- they both maintained the federal budget deficit will continue to shrink from 3.3% of GDP in 2006 to 3.2% in 2007, and 3.1% in 2008. But the inputs used to arrive at the budget deficit estimated for 2008 were arithmetically conflicting and glaringly non-aligned." -Business Times Singapore.
To read more about the report, please visit Present Power Point.