Malaysia revived China railway to avoid $5 bn penalty: PM

Kuala Lumpur: Malaysia would have faced a $5-billion penalty if a China-backed rail project was axed, the prime minister said Monday, after a deal was reached to revive the controversial scheme. Last week Malaysia and China agreed to push ahead with the railway at a 30-percent lower cost, lifting a suspension slapped on the project when a corruption-plagued regime lost power in Malaysia last year. It was among several Beijing-financed infrastructure initiatives put on hold after the change of government, as new leaders sought to reduce a mammoth national debt. (AFP)