PETALING JAYA - Prime Minister Tun Dr Mahathir Mohamad has said he is prepared to step down if there is a falling out between him and the Pakatan Harapan leadership.

In an interview with Channel NewsAsia (CNA), Dr Mahathir did not rule out a possible fallout when asked about fears of an impending rift between him and his nemesis-turned-ally Datuk Seri Anwar Ibrahim.

"Well, there can be a fallout between me and many, many people. But I have always been able to stay and work with people who were against me," Dr Mahathir said.

"I was there for 22 years. I had a lot of people who were against me but I managed. So, if I cannot manage, then I step down," he added.

Despite reassurance from both parties that they are friendly with each other, the relationship between the two is still being scrutinised.

Anwar was released from prison within days of Dr Mahathir's swearing-in as Prime Minister and is slated to take over when Dr Mahathir makes way for him in two years' time.

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However, many are sceptical over the relationship between Dr Mahathir and Anwar, a man whom he once sacked as Deputy Prime Minister in 1998.

Since his release, Anwar had been releasing statements on government policy and was even seen discussing bilateral ties with government officials in London despite having no official position in the government.

"(Anwar) is like everybody else, he can comment - make any comment. He's not in the government," Dr Mahathir told CNA.

"But generally, once we agree on something in Cabinet we stick to that decision, but others who are not in the Cabinet may make their own comments. They can say what they like. But we are the government," he said.

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On the strength of the Ringgit, Dr Mahathir told CNA there is no need to peg the Ringgit at the moment but the country will study this as an option if needed.

"At the moment, there is no need (to peg the ringgit). But we will have to study that also. That is one of the options that we have," he said, adding that the government is also considering going cashless or changing currencies to combat corruption.

"It's not an easy thing because when you want to replace currency, you must know how much currency is in circulation … because we have to replace what is in circulation and that is a very big amount," he said.

"If you were to replace, you need to print huge amounts of paper money and that is not a decision that one makes lightly. You have to study the effect on the economy," he added.