HONG KONG - Prime Minister Mahathir Mohamad was neither autocrat nor dictator, but a "collective leadership person" who even had to get his travel details approved by cabinet, Trade Minister Rafidah Aziz told business leaders here today

She added that Mahathir's legacy will ensure investors have nothing to worry about when he steps down next year.

Asked at a luncheon organised by Hong Kong business about the country's future after Mahathir resigns, Rafidah said: "I don't think it should be a cause for concern to anyone".

The National Development Council, where top ministers meet bureaucrats, had been in place for many years before Mahathir came to power 21 years ago and he had only enhanced it.

"So even if he was not in the chair in cabinet, even if he was not the prime minister, what he would have left behind is a system that works."

Rafidah said Malaysia has always been governed by a collective cabinet even though many believe Mahathir made all the important decisions.

"Some people even say he's a dictator...that he says 'yes' and everything happens, (but) no, far from it."

Mahathir even gets prior cabinet approval for visits abroad: "If he wants to go to Italy, everywhere, he has to present a cabinet paper and explain to us when he's going, why he's going, who he's taking and then we all say 'yeah yeah he can go'."

Sharp intelligence

Malaysia will not collapse when the 76-year-old leader leaves the top post in October next year, she stressed..

Rafidah entered cabinet for the first time about five years before Mahathir became prime minister.

The trade minister said cabinet discussions ranged from the profound to the simple.

"It's where you really can say what you want to say," said Rafidah, admitting that members have had to be on guard and prepared for Mahathir's sharp intelligence.

She said the performance of Mahathir's United Malays National Organisation (Umno) party in recent by-elections ensured further stability.

Umno dented the popularity of its conservative Islamic rival in northern Malaysia, Parti Islam SeMalaysia (PAS), on July 18.

She said corporate governance reforms in recent years also meant Malaysia would weather the storm from corporate collapses in the United States.

Peg to remain

Meanwhile, Rafidah said her government has decided to keep the ringgit pegged to the US dollar to maintain the Malaysian unit's stability.

"(The) principle of the fixed exchange rate is here to stay because we see no reason to change as it has brought stability," she told AFP 's financial news subsidiary AFX .

Rafidah said the private sector also welcomed the ringgit peg because it has allowed them to plan their business activities over the longer term.

However, she said the level at which the ringgit is fixed to the US dollar will depend on the behaviour of the other currencies in relation to the US unit.