In a rare display of common ground, DAP has echoed MCA's call for a continuation of direct federal funding to some 607 new villages across the country.

DAP secretary-general Lim Guan Eng said plans for the federal government to shift the responsibility of infrastructure development in new villages to their respective local councils would only increase red tape.

"...this increase in administrative red tape will not only burden overworked government officials but also cause unnecessary delay," he said in a press statement yesterday.

Instead, Lim said the old system where the federal government provides direct funding to the respective new village development and security committee (JKKK), should be retained as they are most familiar with local issues.

He said as of last year, the development funds involved a total of RM70 million and covers 450 Chinese new villages, 113 planned villages and 44 Chinese-majority fishing villages.

Lim, who is also Penang chief minister, said to date, the Urban Wellbeing, Housing and Local Government Ministry has yet to inform the local councils or district officers to take over the approval of direct funding from the federal government.

On Friday, MCA new villages affairs bureau Hoh Khai Mun had urged the federal government to retain the current direct funding structure to the new villages.