Malaysian Bar backs government efforts to strengthen governance, transparency and accountability across GLCs and GLICs to boost investor confidence.
KUALA LUMPUR: The Malaysian Bar welcomes the government’s ongoing efforts to strengthen governance, performance and accountability across government-linked companies (GLC) and government-linked investment companies (GLIC).
Its president Mohamad Ezri Abdul Wahab (pix) told theSun that the association acknowledges the government’s roadmap towards a rule-of-law-based enterprising state and to position Malaysia as a modern, competitive and well-governed economy.
“In practice, Malaysia functions as an enterprising state. The state participates actively in commercial activity, manages national assets and partners with the private sector to deliver economic outcomes through GLC, statutory bodies and public investment institutions.
“The government’s continued focus on governance reform reflects an important recognition that the state’s economic participation must be accompanied by strong legal discipline and institutional accountability.”
He added that over the years, governance enhancements implemented across GLC and GLIC have included clearer shareholder stewardship, more robust boards, performance-based accountability, procurement discipline and enhanced risk and integrity frameworks.
“These measures have had a demonstrable and positive impact. It has contributed to improved financial performance, stronger investor confidence, reduced leakage and greater resilience.
“International experience similarly shows that well-governed state-linked enterprises are more profitable, more trusted and better insulated from corruption and inefficiency.
“The Malaysian Bar supports any structured roadmap that builds on the reforms by placing state commercial activity within a clearer and more coherent legal framework. Clear laws do not constrain enterprise, they enable it.”
Mohamad Ezri also said a principled and transparent framework strengthens the rule of law, provides certainty to markets and investors and ensures that public resources are managed prudently for the long-term benefit of the nation.
“Such an approach also enhances governance and compliance. Clearly defined mandates, uniform standards and effective oversight reduce the risk of non-compliance, abuse of discretion and bribery.
“They ensure that accountability is institutional rather than ad hoc, and that enforcement is consistent, predictable and fair.
“In particular, a legal framework helps preserve proper order within the system by maintaining clear distinctions between policymaking, regulation, ownership and commercial operation.
“The separation is essential to protect competition, avoid conflicts of interest and sustain public trust. Economic growth and the rule of law are not competing objectives.
“They are mutually reinforcing Malaysia’s experience and that of leading international jurisdictions, demonstrating that profitability, integrity and public confidence rise together when governance is clear.”
He said the association had studied findings published in the Fiscal Outlook and Federal Government Revenue Estimates by the Finance Ministry (2026) and the Thirteenth Malaysia Plan 2026–2030: Melakar Semula Pembangunan by the Economic Planning Unit of the Prime Minister’s Department (2025).
“Therefore, the Malaysian Bar supports the government’s direction towards strengthening and consolidating the governance of state commercial activity.
“It affirms that any roadmap grounded in clear laws, transparency and accountability will advance not only economic growth but also institutional credibility and public interest.”
The Sun Malaysia
