Mahathir says stalled Chinese rail link can go ahead on ‘smaller scale’ if Beijing agrees
- The Malaysian prime minister, who canned the mega project last year, says the East Coast Rail Link can proceed if it does not cost too much
- Disgraced leader Najib Razak mocked the idea that Mahathir’s government would struggle to afford the project
A controversial China-backed infrastructure project that Malaysian Prime Minister Mahathir Mohamad put on the back burner in July will continue on a smaller scale, he has said – pending Beijing’s approval.
In an interview with Chinese language Malaysian daily Sin Chew, Mahathir said that the 80 billion ringgit (US$19.3 billion) East Coast Rail Link (ECRL) project, which was out for tender when it was dropped, could continue if Beijing took into account the tough economic spot Malaysia was in.
“China’s government understands that Malaysia is facing serious financial problems,” Mahathir said on Monday.
“What we are trying to do is ensure that we will not spend much money and that China will not suffer a loss.”
The railway – which would cross the Malay Peninsula, connecting Port Klang on the Malacca Strait with Kuantan on the eastern coast before running north through Tumpat on the border with Thailand – was to be financed in large part by the Export-Import Bank of China.