Prime Minister Tun Dr Mahathir Mohamad on Wednesday said the government will have to work diplomatically if India decides to restrict the imports of Malaysian palm oil.

He added that the speculated issues were just a reaction from traders and the government has yet to receive any official statement from the Indian government on the matter.

He also denied that the reduction in foreign investment in Malaysia was caused by the uncertainty of the leadership transition as claimed by Rembau MP Khairy Jamaluddin.