Why is STAR president Lina Soo demanding an apology from the finance minister?

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STAR President Lina Soo Demands Apology from Finance Minister Lim Guan Eng Over Sarawak's Debt Discrepancies

STAR president Lina Soo is demanding an apology from Finance Minister Lim Guan Eng, asserting that he misled Malaysians regarding the arrears owed by Sarawak to Putrajaya. This call for an apology follows clarifications from Sarawak Chief Minister Datuk Abang Johari Openg, who stated that the state has consistently met its financial obligations on schedule. Soo contends that Lim should not continue to pursue the matter after these clarifications.
Disputed Arrears Figures

The public disagreement originated when Lim Guan Eng stated that Sarawak had RM50 million in arrears and reminded the state of a RM2.5 billion debt, in response to a request for its RM2.7 million share of the tourism tax. However, Sarawak Chief Minister Datuk Abang Johari Openg later clarified that the state's outstanding debt to the federal government was RM2.38 billion, not RM2.5 billion as stated by the Finance Minister. This discrepancy in the figures provided by Lim Guan Eng is a central point of contention for Soo.
Sarawak's Borrowing Mechanism

Soo explained that Sarawak does not directly secure loans from international financial institutions. Instead, any such borrowing is facilitated through the federal Ministry of Finance (MoF). She posits that the MoF obtains loans from countries like Japan at low interest rates, often around 1.5 per cent, and then disburses these funds to state governments, such as Sarawak, at a higher interest rate, typically between 4 to 5 per cent.
Consistent Payment Record

According to Soo, Sarawak has a consistent track record of meeting its financial commitments and has never defaulted on its payments. She highlighted that the financial packages provided to the state vary in size and come with different interest rates and are tied to specific projects. Soo emphasised that the state government has always adhered to its repayment schedules as stipulated in the agreements between the state and federal governments.

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Why is STAR president Lina Soo demanding an apology from the finance minister?

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