The Emergence of Hidden Dagger

With 63% of debt to GDP recorded, are there other government obligations and liabilities that we should look for? The answer is yes.

Further analysis has revealed that the debt service chargers were the second-highest expenditure among the expenses with 13% of them recorded in 2021.

Increasing credit risks coming from crumbling Government-linked Companies (GLCs) have also become an elevated risk due to the government being the major shareholder in the companies.

As such, it appears that aside from the troubling Sapura Energy, it is also found that at least six more companies were found to be underperformed.

Thus, it is crucial to analyze further which companies that currently at high risk, which in the future will require government bail-out in order to save the company.

Data has depicted that aside from Sapura Energy, there are at least 7 more companies having higher current liabilities than current assets, including MBSN and Axiata being the lowest.