Kuala Lumpur, July 22 -- Malaysia's sizable national debt does not pose a threat to the country's long-term prosperity, thanks to its strong economic fundamentals and prudent fiscal management, according to economists.

According to Dr. Goh Lim Thye, a lecturer at the Faculty of Economics, University of Malaya, Malaysia's public debt stood at 1.22 trillion MYR (290 billion USD) as of April 2024, equivalent to 63% of its Gross Domestic Product (GDP). However, this level is not inherently risky.

Dr. Goh noted that sustainability should focus not solely on debt size, but on the country's ability to service debt without hampering economic growth or causing social instability. Malaysia maintains a diversified economy, solid fiscal capacity, a...