KUALA LUMPUR, Feb 10 (Bernama) -- Prime Minister Datuk Seri Abdullah Ahmad Badawi's prudent management of the economy has positioned Malaysia on a strong footing to face any financial crisis in future, Gerakan said.

Describing Abdullah as a "good housekeeper", Gerakan president Datuk Seri Dr Lim Keng Yaik said the prime minister, who is also Finance Minister, had taken prudent measures to ensure the Government spent only when it had the money, thus reducing debts, despite claims by some people that the move had made "the economy to be stagnant".

"People may think there is a slowing down of the economy but now it has put the country in a better position financially, high trade, surplus of trade, building up the reserves and inflation is under control, below three per cent.

"With that kind of extra money, what we can expect is he can now start spending on infrastructures, especially on projects that will further contribute to build up the economy," said the Energy, Water and Communications Minister.

Speaking to reporters after chairing Gerakan's monthly central committee meeting, Dr Lim said Abdullah had a "systematically-calculated push, step by step to improve the country's economy."

Dr Lim explained that Abdullah had stopped unnecessary government spending and set aside funds for future spending.

He had also set up a high-powered special task force (Pemudah) to facilitate business. The task force comprises representatives from the public and private sectors.

He also established the Public Service Delivery Coordination Committee to work on improving the delivery system.

He said the Government would start disbursing the RM220 billion allocated for implementation of projects under the Ninth Malaysia Plan only after the delivery system had improved.

"By doing so, we will be able to ensure the money is spent prudently and efficiently," he said.

Dr Lim praised Abdullah for his prudent handling of the country's finance and step-by-step planning of the economic development by liberalising certain economic sectors, resulting in the better economic performance.

He cited the 10-year high of the Bursa Saham Kuala Lumpur on Thursday at 1,248 points as an example of the country's robust economy.

"Whether through Government spending or through the Private Finance Initiative, we are on the way to better times. I, on behalf of Gerakan, is very happy and optimistic," he said.

He urged the people to see the opportunities available and work harder to find their niches and be part of the growing economy.

"I can see the 1993 and 1994 economic boom is coming back. Even if the so- called Asian contagion (the Asian financial crisis in 1997) repeating itself, we are in a better position to face the contagion," he said.

"The credit should be given to Abdullah who had managed the economy well although in the last three years due to the austerity drive, there was not much economic growth," he added.