The president-elect’s office has said that the state-owned enterprises (SOEs) are experiencing severe cashflow shortages.
According to the office, the cashflow shortages in SOEs have required substantial cash injections for the remaining two months in the current 2023 fiscal year.
The transitional spokesperson Mohamed Firuzul said that state-run companies, especially engaged in government projects were in poor condition.
“The most significant challenge that the companies are highlighting is the severe hindrance in their cashflow. This is due to the fact that they have not received the payments owed to them after implementing government projects,” said Firuzul during a press conference on Sunday, October 15.
“Because of this cashflow constraint, we anticipate that a significant amount of cashflow injection will be necessary to cover daily expenses for the next two months.”
Despite pointing out to cashflow constraints in SOEs, Firuzul did not disclose the details of these public companies.
