M`SIA YET TO RECEIVE SIGNAL FROM US ON FTA

KUALA LUMPUR, April 13 (Bernama) -- Malaysia has not received any signal
from the US administration on the Malaysia-US Free Trade Agreement (FTA), Deputy
Prime Minister Muhyiddin Yassin said Monday.

"We are not sure whether under the leadership of president (Barack) Obama
they will give priority to the FTA or address domestic issues first," he told
reporters after handing over duties as International Trade and Industry Minister
to his successor Mustapa Mohamed at the ministry.

Muhyiddin has been appointed Education Minister.

To a question, Muhyiddin said the government was tackling issues that might
harm the country's economy despite lack of indications that things are
improving on the global front.

He said that although the US had announced US$700 billion stimulus plan, the
impact has yet to be seen.

"We are not to sure where the money will go and how it will impact global
trade. There is similar problem across Europe and Japan has not seen the light
yet too.

"We are facing that sort of uncertainty and we are wary of the situation" he
said.

Muhyiddin said the focus now was to stimulate the domestic economy and hoped
that the RM67 billion (US$1=RM3.55) stimulus packages and the mini-budget would
be spent by the major sectors.

On the investment front, Muhyiddin said Malaysia might not be able to secure
the same RM62 billion it recorded last year.

"The projection for this year is half of that," he said.

Asked if the liberalisation of the services sector would take place this
year, he said the various sub-sectors that have been identified would be taken
to the Cabinet first for approval.

-- BERNAMA