How much does Malaysia save annually by dissolving the Federal Territories Ministry?

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The Malaysian federal government will save approximately RM2.3 million annually following the dissolution of the Federal Territories Ministry.

The dissolution of the Federal Territories Ministry and its subsequent restructuring into the Federal Territories Department, now an agency under the Prime Minister's Department, has resulted in annual savings of RM2,358,912.61 in federal spending. This change has not led to any operational disruptions or negatively impacted the oversight of matters previously handled by the ministry.
Annual Financial Savings Achieved

The restructuring has yielded significant savings, specifically RM2,358,912.61 per year, primarily from emolument expenditures. This financial benefit directly contributes to reducing the federal government's overall spending.
Continued Management of Federal Territories

Despite the change in status from a ministry to a department, the core functions related to the Federal Territories remain operational. The newly formed Federal Territories Department continues to manage planning, coordination, monitoring, and policy-setting for these areas.
Assurance of Uninterrupted Governance

The government has confirmed that the dissolution has not caused any disruptions to the affairs of the Federal Territories. The responsibility for safeguarding the interests, development, and well-being of Kuala Lumpur, Putrajaya, and Labuan has been placed under the purview of the prime minister.
Historical Context of the Ministry

The Federal Territories Ministry, established in 1979, was led by Datuk Seri Shahidan Kassim as its last minister before the dissolution of Parliament on October 10. The decision to dissolve the ministry and integrate its functions into the Prime Minister's Department reflects a move towards streamlining federal administration.

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How much does Malaysia save annually by dissolving the Federal Territories Ministry?

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