Malaysia plans anti-rent-seeking legislation for 2027
The government is weighing a separate law against changes to existing legislation, with penalties still under study.
Malaysia plans to bring legislation before Parliament in 2027 to make rent-seeking a criminal offence, Economy Minister Akmal Nasrullah Mohd Nasir said. The government has yet to decide which legislative route to take or what punishments to propose.
Options under consideration include a separate law and changes to existing laws to tackle practices including licences being sold or leased under ‘Ali Baba’ arrangements. Akmal Nasrullah said the choice would depend on the findings of a study, consultations with stakeholders and legal examination.
He was answering Bangi Member of Parliament Syahredzan Johan (Pakatan Harapan-DAP), who sought an update on drafting efforts and the proposed timetable. The minister said selling licences and operating under ‘Ali Baba’ arrangements were not currently defined as criminal offences, while corruption and other conduct already prohibited should be addressed under existing laws.
According to Akmal Nasrullah, the ministry’s study identified weaknesses in how licences, contracts and other facilities are awarded that could harm socio-economic efficiency. The proposed framework would seek to address those gaps.
The review draws on views from industry, enforcement bodies, ministries, state governments and other stakeholders. Akmal Nasrullah said coordination across agencies was needed to make the proposals workable and enforceable. They would also need clearance at several levels, including from Cabinet and the National Development Planning Committee, before reaching Parliament.
