Malaysia to Review Political Representation in Government-linked Funds
(Eyewitness News)- A joint statement from six funds said Mahathir’s government emphasized the importance of ‘separation between professional management of the institutions and any undue interference from political or any other external parties.’
Malaysian Prime Minister Mahathir Mohamad’s new government will review political representation in the country’s largest government-linked investment firms, including the main sovereign and state pension funds, the funds have said.
A joint statement from six funds said Mahathir’s government, which took power after last week’s general election, emphasized the importance of “separation between professional management of the institutions and any undue interference from political or any other external parties.”
Malaysia’s biggest funds are headed by executives mostly appointed during the nearly decade-long tenure of ousted Prime Minister Najib Razak. It was not immediately clear if any of them would be affected by the review.
The funds include sovereign fund Khazanah, pension fund Employees Provident Fund (EPF), investment fund Permodalan Nasional Berhad (PNB), retirement fund Kumpulan Wang Persaraan (KWAP), military retirement fund Lembaga Tabung Angkatan Tentera (LTAT) and Lembaga Tabung Haji (LTH), a fund for the pilgrimage to Mecca.
These funds control billions of dollars in assets, including significant shareholdings in some of the country’s biggest publicly traded companies, including banks.
