Learn from history, MP tells gov't on new privatisation plans

PARLIAMENT | The government should learn from the past before embarking on a new wave of privatisations, Maria Chin Abdullah (Harapan-Petaling Jaya) has cautioned.

In her debate of the royal address, Maria urged the government to compile a list of GLCs privatised in the 1980s and 1990s which could actually be referred to as successes.

"This is important because to my understanding, there were many privatised companies which had to be bailed out by the government after the 1997 Asian financial crisis.

"Therefore, plans to once again increase privatisation must be reconsidered, and we must be cautious," she told the Dewan Rakyat today.

'Top five percent or B40?'

Maria also called on Prime Minister Dr Mahathir Mohamad to clarify the details of his latest privatisation drive, and whether it could truly trim the bloated civil service.

Among others, the Harapan lawmaker said Mahathir must list the GLCs involved – particularly whether it would only involve profitable institutions, such as CIMB Bank or IIH Healthcare, a unit under sovereign wealth fund Khazanah Nasional Bhd.

"Then there is the question of who would have the wealth to take over these companies, and how will privatisation benefit the bumiputera?

"Will this move only benefit the top five percent of society? How will it benefit the bottom 40 percent (B40) income group, who really need the government's support?"

Mahathir's privatisation drive during his first tenure as prime minister had been widely criticised, and was alleged to be a way to enrich certain well-connected individuals.

After assuming office again last year, Mahathir argued that another round of privatisation could be the solution to the purportedly bloated size of the civil service.

Finance Minister Lim Guan Eng, however, reassured civil servants yesterday that privatisation would not result in them losing their jobs. - Mkini