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Poor management, financial weakness behind 75pc of delayed projects, says Ahmad Maslan

SEBERANG PERAI, Aug 18 — An estimated 75 per cent of delayed and sick construction projects nationwide are due to...

Poor management, financial weakness behind 75pc of delayed projects, says Ahmad Maslan

Deputy Works Minister Datuk Seri Ahmad Maslan revealed that 75% of construction delays in Malaysia are caused by poor management, operational oversight, and financial problems, he stated at the CIDB Northern Region Contractor Convention 2026. The remaining 25% of failures stem from technical issues, highlighting the need for contractors to improve their financial standing, internal management, and delivery capabilities.

Maslan emphasized that contractors must focus on governance, cash flow, skilled personnel, technology adoption, and proven delivery records to secure government tenders, survive, and grow in the long term. He called on the industry to eliminate practices such as shell companies, proxy bidding, tender-rigging, and "Ali Baba" contracting, where firms win contracts but outsource execution entirely.

The minister also urged Bumiputera firms to move beyond renting out contracts and urged contractors to adopt Building Information Modelling (BIM) and digital tools to stay competitive in a globalized market.

Written by urgent.news from Malay Mail's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Also reported by 2 other outlets

Read the original at malaymail.com →

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