05-15-2022, 01:21 PM
Privatisation better than Petronas takeover: experts on Sapura Energy
![[Image: 20220515-Sapura_Diamante_(1)-Sapura_Energy_pic.jpg]](https://media.thevibes.com/images/uploads/covers/_large/20220515-Sapura_Diamante_(1)-Sapura_Energy_pic.jpg)
KUALA LUMPUR – Economists have poured cold water on Datuk Seri Najib Razak’s proposal for Petronas to take over Sapura Energy Bhd, suggesting instead that the embattled firm enter a privatisation deal.
The former prime minister made the proposal during his debate with opposition leader Datuk Seri Anwar Ibrahim on Thursday night, saying the national oil and gas company has the expertise to pull Sapura Energy out of troubled waters.
Najib had also claimed that a takeover by Petronas would not involve a single sen of public funds, a notion that was immediately pooh-poohed by his political rival on stage.
Speaking to The Vibes, Sunway University economics professor Yeah Kim Leng said by allowing competitive bidding, the government can ensure that Sapura Energy is acquired by the most capable hands.
Such a move will also mean that the risk capital of taking over a financially troubled company is borne fully by the private sector, instead of transferring that burden to government entities, he said.
The former prime minister made the proposal during his debate with opposition leader Datuk Seri Anwar Ibrahim on Thursday night, saying the national oil and gas company has the expertise to pull Sapura Energy out of troubled waters.
Najib had also claimed that a takeover by Petronas would not involve a single sen of public funds, a notion that was immediately pooh-poohed by his political rival on stage.
Speaking to The Vibes, Sunway University economics professor Yeah Kim Leng said by allowing competitive bidding, the government can ensure that Sapura Energy is acquired by the most capable hands.
Such a move will also mean that the risk capital of taking over a financially troubled company is borne fully by the private sector, instead of transferring that burden to government entities, he said.
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