What governance changes are planned for GLCs and GLICs?

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No Specific Governance Changes Detailed for GLCs and GLICs

The government plans to transform government-linked companies (GLCs) and government-linked investment companies (GLICs) with a focus on strengthening governance. This initiative aims to enhance strategic domestic investments and improve dividend yields from these entities, thereby contributing to increased non-tax revenue. While the intention to bolster governance is stated, the specific details, policies, or structural reforms constituting these changes have not been elaborated upon.
Focus on Strengthening Governance

The overarching objective of the planned transformation for GLCs and GLICs includes a significant emphasis on strengthening their governance frameworks. This commitment was articulated by Prime Minister Datuk Seri Anwar Ibrahim, who highlighted its role in the broader strategy. The intention is to ensure these entities operate under more robust governance structures.
Aim to Boost Domestic Investment and Dividend Yields

A primary outcome expected from the transformation and strengthened governance is the stimulation of strategic domestic investments. Concurrently, the government anticipates an improvement in the dividend yields generated by GLICs and GLCs. These combined efforts are seen as crucial for enhancing the nation's financial resources.
Contribution to Non-Tax Revenue

The transformation initiative is directly linked to the government's goal of increasing non-tax revenue. Prime Minister Anwar Ibrahim indicated that a stronger focus on domestic investment, facilitated by the GLC and GLIC transformation, is expected to yield higher returns. He noted that a substantial portion of non-tax revenue, specifically 50 per cent, is derived from investment income, including dividends from major entities such as Petronas, Bank Negara Malaysia, and Khazanah Nasional Bhd.

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What governance changes are planned for GLCs and GLICs?

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