Penang Chief Minister Lim Guan Eng should be "honest" by admitting the state's debt reduction was made possible by a large portion of its debt being transferred to the federal government.

"Don't lie to the people as though you are smart and able to reduce the debt.

"He (Lim) has to give an overall and correct picture to the people, don't hide," said Gerakan secretary-general Liang Teck Meng in Putrajaya today.

Liang, who is also National Water Service Commission (Span) chairperson, was referring to the 2011 water restructuring agreement, where Putrajaya agreed to convert the state's existing RM655.24 million in debts to 45 annual lease payments of RM14.56 million...