VLADIVOSTOK, Sept 5 — Malaysia will continue oil explorations within its territory, despite China’s demand for Malaysia to cease its activities off Sarawak waters, said Prime Minister Datuk Seri Anwar Ibrahim.
Anwar said he is certain that oil explorations carried out by Malaysia are within the country’s waters, but will explain its position to China.
“China is our friend, but we have to operate in our waters to secure our advantage, including by drilling in our territory.
“(Even though) Beijing sent a protest note as it feels it is its area, we have to continue drilling activities as it is for the economic survival of our country,” the Prime Minister told Malaysian reporters at the exit press conference today.
Anwar is in Russia’s far east city of Vladivostok to attend the 9th Eastern Economic Forum.
The prime minister said Malaysia and China have always been able to resolve their disputes via friendly negotiations.
Recent news reports stated that Beijing, through diplomatic note, demanded that Malaysia halt all oil and gas activities in the resource-rich area off Sarawak waters, despite the areas being located within Malaysia’s territorial and exclusive economic zone.
Meanwhile, Anwar quashed talk of a possible return of the goods and services tax (GST), saying the government has not discussed it as an alternative to subsidy cuts.
At a press conference here, Anwar, who is also finance minister, said discussions are focused on budget strategies and ways to increase the government’s revenue as it is determined to alleviate the issue of rising costs.
“Nothing specific (on the GST) has been discussed. A country cannot be governed based on rumours,” he quipped.
Bloomberg recently reported that Malaysia was weighing the return of a broad-based consumption tax instead of subsidy cuts for petrol as the government seeks to bolster its finances, quoting “people familiar with the matter”.
— Bernama