COMMENT | Govt must strengthen financial management

COMMENT | In light of the recently released Auditor-General's Report revealing substantial financial losses in federal agency subsidiaries, Ideas strongly urges the government to streamline its operations by closing redundant and cost-inefficient subsidiaries that compete with small businesses.

The report highlights alarming figures, indicating losses of almost RM2 billion in 2022 alone, from subsidiaries under five federal agencies despite recording the highest investment at RM54.574 billion.

Felda, for example, incurred losses of RM1 billion, emphasising the urgent need for a comprehensive review and consolidation of government agencies and subsidiaries to ensure efficiency and prevent unnecessary financial setbacks.

Ideas is particularly concerned about Felda and PR1MA’s sustainability.