Amid concerns raised over Putrajaya's move to pursue development of a new national car, federal minister Redzuan Yusof (above) has given his reassurance to the people that there will be no future bailouts at the expense of public funds.
According to Free Malaysia Today (FMT), the entrepreneur development minister gave his assurance that no public funds would also be used at the development stage for project, as the plan is to be funded through a private strategic partnership model.
“The government has no intention of the project being a drain on any public funds,” Redzuan said in an interview with the online portal.
Further, he said, a specific criterion has been set for his ministry's selection of a strategic partner for the third national car project.
Among others, the partner must be an established car manufacturer producing components for its supply chain and after-sales market, as well as possess its own research and development capabilities.
In terms of the car's physical look, Redzuan said the concept was for it to be a car for the mass market, and with a smaller, more efficient engine.
"It will be a hybrid based on the internal combustion engine. This will reduce risks where supply and demand are concerned.
"As for the design, we are now at the stage of trying to finalise the shape and form of the prototype, which will be revealed later this year, and all without us having spent a single sen," he was quoted as saying.
Overall, Redzuan said, the new national car project is more than just to create an automobile, but also an entire ecosystem for the growth of local entrepreneurs, businesses and industries.
Last December, Finance Minister Lim Guan Eng said no decision has been made for the government to invest in the third national car project, as it required a huge capital outlay - which was not allocated for under Budget 2019.
Last June, Prime Minister Dr Mahathir Mohamad voiced the proposal to create a new brand of national car to replace Proton.
He said Proton could no longer be considered a national car as almost half of its equity had been sold to China's Zhejiang Geely Holdings Group.
