Malaysia

A reformist budget befitting a reformist PM?

Prime minister’s revised supply bill reflects his consistent stance

Updated 3 years ago · Published on 25 Feb 2023 10:30AM

A reformist budget befitting a reformist PM?
Ending direct negotiations for future government procurements, cracking down on graft and middlemen, and consolidating government bodies – these are just some of the various reforms proposed in Prime Minister Datuk Seri Anwar Ibrahim’s revised Budget 2023. – ABDUL RAZAK LATIF/The Vibes pic, February 25, 2023

by Amar Shah Mohsen

KUALA LUMPUR – In a budget that offers plenty, it was no surprise to see the recurring theme of reform being very much the centre of Prime Minister Datuk Seri Anwar Ibrahim’s supply bill. 

This reflects his very own vision, a stand that he had consistently taken and maintained as opposition leader previously. 

After all, he inspired the Reformasi movement when he was unceremoniously sacked from Umno and the cabinet in 1998, which has remained the core struggle of his party PKR. 

Now head of the government, the Pakatan Harapan (PH) chairman stayed true to his values when he tabled the Supply Bill 2023 in Parliament yesterday evening with reform being one of the central themes. 

In fact, Anwar even made particular mention of the perennial issues of corruption, power abuse, and embezzlement in his opening remarks prior to the tabling, lamenting how they have been systemic and tarnished the country’s image. 

Poor scores in recent corruption perception indexes and the revelation of leakages and wastages in the Auditor-General’s Reports are just a few of the repercussions of these problems that Anwar highlighted yesterday. 

Ostensibly aware of the impact of these issues, Anwar aptly included “institutional and governance reform to restore confidence” as one of his budget’s three main pledges – the other two being an inclusive and sustainable economic drive, and social justice to reduce inequality. 

Under this focus, the Tambun MP announced a slew of reforms, including discontinuing direct negotiations for any future government procurements. 

As the inspiration behind the Reformasi movement, Prime Minister Datuk Seri Anwar Ibrahim (second left) has consistently maintained a reformist stance, which is reflected in his revised Budget 2023. – AFP pic, February 25, 2023
As the inspiration behind the Reformasi movement, Prime Minister Datuk Seri Anwar Ibrahim (second left) has consistently maintained a reformist stance, which is reflected in his revised Budget 2023. – AFP pic, February 25, 2023

Two major contentious projects – RM15 billion for flood mitigation and RM7 billion involving the Jana Wibawa scheme – which have caught national attention recently have been scrapped with immediate effect. 

In exchange, the prime minister said a portion of the projects would re-enter an open tender process soon, which is expected to save the government up to RM3 billion – with the proceeds to be disbursed for the rakyat’s benefit. 

Anwar also vowed to expedite the tabling of a Government Procurement Act, which was first mooted in 2019 by the then Tun Dr Mahathir Mohamad-led administration but has since been pigeonholed. 

While he did not elaborate on this proposed legislation, if passed it would drastically improve the efficiency and transparency of procurement processes. 

Crackdown on graft, foot down on middlemen 

Anwar pledged that his unity government would do all it could to shut any doors that could lead to corruption. In this regard, he said enforcement agencies will continue cracking down on graft. 

“The rakyat cannot wait for changes, and I myself can’t wait to implement reforms so that government matters can be handled faster, easier, and more transparently,” he had said. 

To encourage the fight against corruption, Anwar said the government is proposing an amendment to the Whistleblowers Protection Act 2010, which could be tabled in Parliament as soon as this year. 

The move will see greater protection accorded to informants who reveal graft.

Prime Minister Datuk Seri Anwar Ibrahim points out that the controversial littoral combat ship project has been delayed multiple times due the practice of hiring middlemen for government procurements. – Hishammuddin Hussein Facebook pic, February 25, 2023
Prime Minister Datuk Seri Anwar Ibrahim points out that the controversial littoral combat ship project has been delayed multiple times due the practice of hiring middlemen for government procurements. – Hishammuddin Hussein Facebook pic, February 25, 2023

Separately, ministries and government agencies are instructed to implement reforms by moving away from the age-old bureaucratic practice of relying on agents and middlemen, which leaves room for abuse.

Anwar noted how the government had lost RM20 billion in potential revenue due to restrictive policies on the intake of foreign workers, particularly with the involvement of agents looking to make a quick buck. 

He also highlighted in his budget speech the weaknesses in government procurement due to hiring middlemen. 

Chiefly, he pointed out how the controversial multi-billion-ringgit littoral combat ship project has been delayed multiple times due to this, stressing that such practices will no longer be allowed. 

Interestingly, to cut unnecessary spending, Anwar did not announce any new megaprojects. 

One other major reform announced by the prime minister yesterday was concerning the overlapping powers and functions of some government institutions, with Putrajaya proposing, among others, merging Yayasan Pelaburan Bumiputera, Yayasan Amanah Hartanah Bumiputera, and Yayasan Ekuiti Nasional. 

Exorbitant remunerations currently being given to chief executives and the top management of companies and statutory bodies will also be reviewed, with more reasonable pay packages to be proposed instead. – The Vibes, February 25, 2023

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