The Malaysian Insight

THE Finance Ministry needs a complete revamp to focus on bringing in more money for the country, the Council of Eminent Persons said in its economic report to the prime minister.

Council chairman Daim Zainuddin said the ministry must no longer be riddled in financial scandals and must instead be focused on increasing revenue.

“The Finance Ministry must bring in revenue for the country and ensure that expenses are not wasted.

“There must be no corruption. Do not politicise the civil service,” he said in a press conference today at Ilham Tower.

The former finance minister also said the council had identified three main areas that Malaysia needs to improve to function properly.

“The three key things that need improving are governance, the people’s well-being, and sustainable growth of the country’s economy,” Daim said at a press conference.

The other recommendations by the council to Prime Minister Dr Mahathir Mohamad include measures to reduce cost of living like “housing affordability, fuel subsidy, social protection, the former Bantuan Rakyat 1Malaysia, and toll”. 

“Based on the council’s review, the current over-emphasis on cash handouts does not promote upward social and economic mobility. 

“The cash assistance provided is disproportionately large relative to prevention and skill-upgrading initiatives.

“In addition, it tends to create an aid-dependent culture, particularly among young and single persons,” Daim said.

The council recommended for Putrajaya to create a new framework for investment incentives in order to cure the economy.

“This requires replacing irrelevant existing incentives with new outcome-based ones that promote sustainable and inclusive growth,” Daim said. 

The term of the council, which set out to investigate financial scandals from the previous government, ended yesterday.

Daim said the council had already prepared a report to be presented to Dr Mahathir upon his return from China. – August 20, 2018.