Anwar plans new law for GLCs and GLICs, cites Battersea losses and eFishery failure

Prime Minister Datuk Seri Anwar Ibrahim announced plans to introduce legislation aimed at tightening governance at government-linked companies (GLCs) and government-linked investment companies (GLICs) in Malaysia. The proposed law would establish clearer rules and stricter limits on the powers and responsibilities of individuals leading these entities.

Anwar highlighted the importance of accountability, stating that "breaches were numerous and clearly excessive, making them difficult to defend." He emphasized the necessity of political commitment to address these issues, as previous attempts to enforce tighter controls had encountered resistance from political and business elites accustomed to existing practices.

Anwar provided examples of successful investments made by GLICs and GLCs, such as Khazanah Nasional Bhd's Dana Impak, which invested RM2.6 billion in local dairy company Farm Fresh Bhd. He also discussed the potential of budget allocations from 2027, including RM450 million through Jelawang Capital, Khazanah, and the Retirement Fund Inc’s Dana Perintis, to support the development of start-ups.

However, Anwar called for closer scrutiny of overseas investments to prevent a repeat of the losses incurred by the Battersea Power Station redevelopment project in Britain. He noted that while some overseas investments had generated substantial returns, others, like KWAP's investment in eFishery, had resulted in losses. Anwar clarified that this single failure should not be used to represent the overall performance of KWAP, which has recorded RM8 billion in profits.