Glcs Glics Must Contribute More To Economy During Pandemic Says Finance Minister


 
Finance Minister Tengku Zafrul Aziz said he did not want to see GLCs and GLICs slow down on their investments because of the current economic situation.PUTRAJAYA: Finance Minister Tengku Zafrul Aziz said it is high time government-linked companies (GLCs) and government-linked investment companies (GLICs) gave larger contributions to help the government cushion the economic repercussions of Covid-19.
Speaking to Sinar Harian, he also said he had started discussions with the companies on how they can assist the economy and the rakyat.
“I feel that this is important, but we are still at the discussion stage,” he said.
He said he could not deny that GLCs and GLICs contribute to the economy, but the government required more support from them at this time to revive the economy and open up job opportunities.
“They must shift their perspective as there is pressure on the economy and people are struggling.”
He said companies that are still doing well at this time should not be looking solely at profits, but should do more for economic, job and investment development.
“I don’t want to see GLCs and GLICs slow down on their investments because of the current economic situation.
“This cannot happen because the government is increasing its development spending — we want to have positive effects on the economy.”
Tengku Zafrul said GLCs should be spending and investing more, instead of postponing their expenditure plans. He said this would have a significant overflow effect on other areas.
However, he said there were also some company directors who did not agree with his plans.
“But this is the time to show leadership in the GLCs and the companies under them that can still afford to help the rakyat and the economy. But I don’t know if they will accept this plea or not.”
On the issue of high salaries for the companies’ top executives, Tengku Zafrul said the government will not interfere in the issue but can only advise them on the matter.
“To be fair, I must say that there have been GLCs that have already introduced salary cuts. I also know that there are some companies which have done so, but have not announced them officially.
“The oil and gas sector was also affected (with salary cuts).
“I hope in terms of administration, the board of directors can make the decision as the government cannot interfere.
“The board of directors must act accordingly,” he said. - FMT


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