Supports Anwar Ibrahim's Roundtable to address the alarming outflow of dirty or illicit funds from Malaysia

As we celebrate Winter Solsistice 2013, there is also a need to initiate concerted efforts to introduce positive energy and efforts towards establishing integrity over corruption. Such efforts have become more urgent following the shocking expose of RM 200 billion in dirty money siphoned out of Malaysia in 2010 and the scandal of RM 871 billon lost over the last 10 years.

Washington-based financial watchdog Global Financial Integrity (GFI) 2012, says the level of illicit flows from Malaysia in 2010 was the highest in 10 years. RM 197 billion of dirty money was siphoned out of Malaysia in 2010 compared to RM 93 billion in 2009, an increase of 112 %. Malaysia has the shameful record of being the No.2 country in the world after China, of illicit outflow of dirty money.

The GFI report, ‘Illicit Financial Flows From Developing Countries: 2001-2010', is co-authored by GFI economists Sarah Freitas and Dev Kar, who is a former senior economist at the International Monetary Fund. GFI has warned that capital flight in Malaysia is "at a scale seen in few Asian countries".

GFI described its estimates of global dirty money as "extremely conservative". Whilst Malaysia was ranked No. 2 globally in 2010, Malaysia is ranked No. 3 globally over 10 years from 2001-2010. The total 10-year estimate for Malaysia is US$285 billion (RM871.4 billion), while China is US$2,740 billion, and Mexico, US$476 billion.

For this reason DAP fully supports Opposition Leader Datuk Seri Anwar Ibrahim’s proposal for a roundtable including Bank Negara governor Tan Sri Zeti Akhtar, GFI and all PR mentris besars and Chief Minister to a roundtable next month.to address the alarming outflow of dirty or illicit funds from Malaysia of almost RM 200 billion for 2010 and RM871 billion over the last 10 years (2001-10). DAP agrees with Anwar that BN’s poor economic management for Malaysia’s alarming ranking in illegal money outflow.

The GFI report merely confirms the findings by the 2012 Transparency International report that Malaysia topped the Bribe Payer’s Survey in terms of lost business due to bribery. In this area, Malaysia ranked worst out of the 31 countries, worse than even Indonesia (47%), Pakistan (42%) and Russia (39%). Najib should come clean about this RM 871 billion scandal and wash away the shame it has brought to Malaysia by inviting top GFI economists who drafted the report to get to the root of this scandal.