As of the end of July, RM42.17 billion has been channeled to 1MDB to finance debt repayments and fulfill the company’s commitments, the finance ministry said in a written parliamentary reply yesterday.

“Of the amount, RM15.44 billion was channeled from the finance ministry and the Minister of Finance Incorporated in the form of shareholder advances or loans, while RM26.73 billion came from the proceeds of 1MDB’s asset recovery,” it said.

1MDB, a state investment fund that took shape under former prime minister Najib Razak, is at the centre of a multi-billion dollar scandal that has spawned probes in Asia, the US and Europe.

Najib, convicted of crimes linked to 1MDB, is currently serving a prison sentence but is seeking to spend the remainder of it under house arrest. He is expected to be released in 2028.

“The process to recover 1MDB and SRC funds is still ongoing and is a complicated and long process that will take years,” said the finance ministry.

“This is because it not only involves cooperation between several local agencies and foreign agencies from various countries, but also involves legal processes in court and settlement negotiations,” it added.

Other findings from the finance ministry’s reply are:

About RM28.93 billion was used to pay 1MDB’s principal debt, while RM13.24 billion was for interest payments and the company’s commitments.

1MDB’s remaining debt, involving principal and interest payments until 2039 is RM9.02 billion, comprising principal of RM5 billion and interest of RM4.02 billion.

For SRC International, RM5.35 billion has been channeled by the government to finance principal, interest on debt and meet the company’s commitments.