Prime Minister Najib Abdul Razak said allegations that the appointment of Mohd Isa Abdul Samad as Federal Land Development Authority (Felda) head had would affect stock market prices were baseless.

"It has no bearing on the share price movements," he said in a written reply to Lim Lip Eng (DAP - Segambut) in the Dewan Rakyat.

Lim had asked the prime minister to state the rationale for appointing Mohd Isa as chairman of Felda when his credibility had been allegedly affected after he was found to be involved in money politics by Umno and whether the good name of Felda would be affected and it would cause jitters in the market.

Najib said the appointment of Mohd Isa as the Felda chairman was based on his wide experience in administration, management, leadership and good relationship with the people.

"His experience in administration, politics and community development meets the criteria for appointment as the Felda chairman, a post where he is directly involved in matters pertaining to the development of Felda and its settlers.
    
"At the moment, none of the Felda subsidiaries are listed on the stock market," he said.

Nevertheless, he said, Felda's business partners in the country and overseas, such as in Pakistan, India, Singapore, Egypt, France, China, Hong Kong, Sri Lanka, Bangladesh, South Africa and countries of the Middle East, continue to support Felda's business activities.

"The demand for Felda's primary commodity, i.e. palm oil, is strong and competitive in the international market," he said.