Prime Minister Najib Abdul Razak today welcomed the decision by attorney-general Mohamed Apandi Ali to clear him of any wrongdoing.

Now that the cases have been closed, he said, it is time for Malaysia to "move on".

“The issue has been an unnecessary distraction for the country.

"Now that the matter has been comprehensively put to rest, it is time for us to unite and move on," he said in a statement.

Najib was investigated over the RM2.6 billion found in his accounts and the RM42 million transferred to him from state-owned firm SRC International.

Najib added that the AG's findings affirmed his repeated assertions that "no crime was committed".

He said the episode had also shown how much Malaysians were concerned about political funding.

He recalled that he had in 2010 called for political funding reform but the moves were "blocked by the opposition at the time".

"However, I have instructed for them to be put forward again for discussion," he said.

He also promised to "redouble focus" on issues that actually matter in Malaysia.

These included combatting terrorism and dealing with economic woes.

Apandi had this morning announced that Najib was cleared of wrongdoing and the cases were closed .

He said investigations showed the Saudi royal family had donated US$681 million to Najib.

The prime minister had used US$61 million and returned the rest , Apandi said.

The AG also said Najib had no knowledge of the RM42 million that purportedly came from SRC International.

He had at all material times believed it was part of the Saudi donation, Apandi said.