SHAH ALAM, 19 Nov: The Selangor Government will spend RM2.28 billion from the savings reserves for development and management expenditures in 2014, said Chief Minister, Tan Sri Abdul Khalid Ibrahim.
From the total, he said, RM1.225 billion will be allocated to cover operating expenses (55.7 percent), while the remaining RM1.055 billion will be used for development.
While tabling of the Balanced Selangor State Budget 2014, he said that RM430 million will be spent to finance the development of six initiatives involving the people’s interests.
“Among them is RM150 million for the construction of the Klang Third Bridge, the construction of affordable housing (RM100 million) and the construction of several school buildings (RM50 million).
“In addition, a total of RM50 million from the savings reserves will be used for the development of entrepreneurs and youth empowerment, rural development (RM50 million) and to empower women (RM30 million),” he said.
He was speaking at the Selangor State Assembly 2013, themed ‘An Economic and High Impact Budget for the People’s Well-being’ at the Annex Building today.
As of 31 October 2013, Abdul Khalid said, the Selangor Consolidated Fund in the form of cash and investments amounts to RM2,712.85 million, thus indicating that the state reserves is at its highest since 1998.
“Maybe because of being uninformed about the intricacies of financial and fiscal management, there are voices that condemn, or at least complained about the tendency of the government in accumulating reserves.
“I emphasise that the building of reserves, together with prudent spending, is part of the correct key concept in fiscal discipline, and financial and long-term fiscal management,” he said.