Healthcare took another hit with the planned Padang Besar Hospital put on hold because the government cannot afford it.

The announcement by the Perlis Health and Rural Development Committee chairperson Jafperi Othman comes after Universiti Malaya Medical Centre (UMMC)'s budget was slashed from RM510 million to RM387 million.

Jafperi told reporters the Economic Planning Unit was forced to put the project on hold, despite the state government's insistence.

"This project is important for Perlis residents in the long term. That is
why we want it to proceed," Bernama reported him as saying.

The federal government, however, approved the construction of a health clinic in Padang Besar, which can cater to 200 patients.

Plans for the RM198 million Padang Besar Hospital was first announced by then Health Minister Liow Tiong Lai in 2011.

Liow said there was critical need for a new hospital since Hospital Tuanku Fauziah can no longer cope with growing demand, Utusan Malaysia then reported.

Earlier, PKR vice president Nurul Izzah Anwar lambasted the government for cutting the healthcare budget but approving the purchase of a RM450 million VIP luxury jet.

The Prime Minister's Office said luxury jet, which is part of the fleet of government VIP aircraft, was bought through a 15-year hire purchase contract to replace an older jet.

The purchase courted much public backlash given the government's implementation of the goods and services tax on April 1.

However, International Trade and Industry Minister Mustapa Mohamad justified the purchase by saying that it will help cut travel time and speed up government business.