‘Debt disaster’ will derail recovery this year, says Anwar

[superadmin]

PETALING JAYA: The record level of household income debt-to-GDP ratio, which has hit 93.3% at the end of 2020, is very concerning, says opposition leader Anwar Ibrahim.

He said the previous record of 87.5% in June 2020 at the height of the first wave of Covid-19, was already a dangerous mark.

In a Facebook post today, Anwar said the bulk of the liabilities was tied to homeowner and vehicle debts due to the effects of the movement control order implemented by the government, as well as “dangerously high” credit card debt.

He said the people did not have any control over their fate as they were forced to seek out more loans and take on more debt, thus condemning them to debt traps.


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