Malaysia
DAP MP questions PM Department RM20b opaque funds
Prime Minister Datuk Seri Najib Razak announces Budget 2014 in Parliament in Kuala Lumpur October 25, 2013. u00e2u20acu201d Reuters pic

KUALA LUMPUR, Nov 4 — The opaque discretionary funds for the Prime Minister’s Department (PMD) has ballooned since 2011, reaching a total of RM20 billion in just four years, DAP lawmaker Liew Chin Tong said today.

The Kluang MP pointed out that such “near slush funds” of the PMD, which are budgeted at RM6.9 billion in 2014, now make up 15 per cent of the country’s RM46 billion development budget next year, compared to 0.3 per cent in 2010.

“Something is very wrong with the way Prime Minister cum Finance Minister Datuk Seri Najib Razak handles our public coffers,” said Liew in a statement today.

“The government has been ‘addicted’ to prime ministerial discretionary ‘Near Slush Funds’ since 2011. The figure amounted to RM2.8 billion in 2011; RM4.3 billion in 2012; RM5.9 billion in 2013 and RM6.9 billion in 2014,” added the DAP national political education director.

Liew’s criticism of PMD’s expenditure comes even as Najib pledged to reduce the country’s fiscal deficit in Budget 2014, introducing painful measures like the Goods and Services Tax (GST).

According to the Federal Expenditure Estimate 2014, the PMD’s overall budget next year is estimated at RM16.5 billion, making it the fourth most expensive ministry in the country, behind the education, finance and health ministries.

Liew said today that the “near slush funds” comprise five items in the PMD’s development budget: Restructuring of society, development programmes, special projects, people-friendly projects and facilitation fund.

He added that the RM6.9 billion in discretionary funds makes up a whopping 65 per cent of PMD’s RM11 billion development allocation for 2014.

“Digging further, such usage of ‘near slush funds’ by the Prime Minister’s Department is a new phenomena since 2011,” said Liew, noting that the ‘restructuring of society’ budget item only received RM158 million in 2010.

He also said that ‘development of five corridors’ and the National Key Economic Areas (NKEAs) used to receive billions in discretionary funds.

“For instance, NKEA received RM 5.5 billion funds in 2011 (when it first appeared) but only RM12 million in 2014,” said Liew.

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