BUDGET 2025 | The government is implementing public service reforms in Budget 2025 to promote good governance and boost productivity, said Prime Minister Anwar Ibrahim.

To support these reforms, the government allocated RM25 million to the Special Task Force on Agency Reform (Star), aimed at reducing bureaucratic red tape in government agencies.

“This initiative will review regulations to speed up approval processes, making it easier for the people, traders, and investors,” Anwar said when tabling Budget 2025 in the Dewan Rakyat today.

He added that Star, led by the chief secretary to the government, will address issues such as improving schools and clinics, reducing congestion in hospitals and immigration counters, and ensuring smooth business operations.

The prime minister also revealed plans to enact the Public Administration Efficiency Bill, which focuses on three areas: reducing bureaucracy, speeding up processes, and improving service efficiency.

He also said his government will expedite government services by establishing a centralised channel at Urban Transformation Centres (UTC) to assist people applying for aid from various agencies.

“Government counter services will be further enhanced through the Ikhtiar Kiosk Sentuhan Madani initiative which aims to consolidate various government service kiosks in high-traffic areas like shopping malls, allowing people to access services outside of regular office hours,” he said.

Starting in 2025, the iPayment system, developed by the Accountant General’s Department of Malaysia, will be used for cashless payments at all government counters.

In addition, RM100 million was allocated to expand mobile services, making it easier for rural communities to access essential services without having to travel long distances.

Govt entities and statutory bodies

Meanwhile, government entities with similar roles have been merged for greater efficiency. This includes the consolidation of InvestKL Corporation with the Malaysian Industrial Development Board (Mida) and the merger of the Malaysian Aviation Commission (Mavcom) and the Civil Aviation Authority of Malaysia (CAAM).

Regarding the governance of Federal Statutory Bodies (FSB), the prime minister announced that management and governance guidelines were developed to ensure these bodies meet their intended goals and remain focused on their original purposes.

“The FSB Rationalisation Coordinating Office has been established to assess the direction of FSBs, their financial capabilities, and any overlapping roles.

“About 544 entities within the FSB ecosystem are involved, including Companies Limited by Guarantee (CLBG),” he said.

- Bernama

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