Mohd Zainuddin Hj Amran

Dr M supports Petronas-backed mega Islamic bank 

Tun Dr Mahathir Mohamad has voiced his support for a proposal to set up a mega Islamic bank with Petronas and pension funds being used to underwrite some of the US$1 billion RM3 2 billion in start-up capital The influential former prime minister insisted last night there would be nothing wrong should the government decide to go ahead with Bank Negara Malaysia’s BNM proposal to use an injection from the cash-rich state oil firm as “Petronas money is government money ” Dr Mahathir said that should Petronas agree to fund the project this would mean the government could afford to back the plan — 

 “The idea is good but we need to see if others agree or not Our country still does not have a mega Islamic financial institution “

There is nothing wrong using Petronas funds Petronas money is government money as well ” said Dr Mahathir who was PM for 22 years during which he weathered at least two financial crises The Petronas adviser said that should the company agree to fund the project which The Malaysian Insider reported could be to the tune of US$100 million this would mean the government could afford to back the plan “If other parties agree we can execute it I am confident BNM will support it ”