KUALA LUMPUR – Prime Minister Datuk Seri Anwar Ibrahim indicated that minor cabinet reshuffles might occur next year if Malaysia’s performance in the IMD’s World Competitiveness Ranking does not improve.
Anwar highlighted that a main critique in the IMD report is the Madani government’s perceived reluctance to implement unpopular measures.
He asserted that such decisions, like adjusting diesel subsidies, are essential for reducing national expenditure, which amounts to billions of ringgit.
“The actions required are often unpopular because it usually takes more time. However, the government will take implement the actions because I think it will solve our country’s economic performance.
“InsyaAllah, I hope next year’s report will be better. If not, I might have to make some minor changes in the cabinet. That is the only way to save the prime minister,” he said jokingly.
Anwar made these remarks during the 47th Annual Meeting Luncheon of the American Malaysian Chamber of Commerce (AMCHAM) today.
Investment, Trade, and Industry (Miti) Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, US Ambassador to Malaysia Edgard D. Kagan, and AMCHAM chief executive Siobhan Das.
On June 21, Tengku Zafrul said the weak ringgit is to blame for Malaysia’s decline in the 2024 World Competitiveness Ranking, said Miti minister.
The ministry’s preliminary study of Malaysia’s slide from 27th place in 2023 to 34th this year is that it relied on last year’s data to measure national competitiveness.
Tengku Zafrul added that the weak ringgit had affected many of the aspects taken into account by the rankings, including productivity and efficiency.
The ranking measures competitiveness by four sectors – economic performance, government efficiency, business efficiency and infrastructure – with more sub-sectors under each.
Malaysia’s slide by seven spots puts it behind Indonesia, which rose to 27th from 34th in 2023, and Thailand which improved to 25th place from 30th.
Within the Asia-Pacific region, Malaysia slid by four spots to 10th place out of 14 countries.
However, Tengku Zafrul said Malaysia’s competitiveness should improve since the ringgit was strengthening.
The last cabinet reshuffle under Anwar’s leadership occurred on December 12, marking one year into the unity government’s administration.
The reshuffle was intended to adjust to current demands and situations, increasing the number of ministers from 28 to 31 and deputy ministers from 27 to 29, bringing the total cabinet members to 60.
Two ministries were restructured based on current needs. The Natural Resources, Environment, and Climate Change Ministry was split into the Energy Transition and Public Utilities Ministry and the Natural Resources and Environmental Sustainability Ministry.
Additionally, the Communications and Digital Ministry was divided into Digital Ministry and the Communications Ministry. – June 25, 2024