Politics · Malaysia Bureau
Government eyes 2027 deadline for anti-rent seeking legislation
Malaysia's government is targeting 2027 to introduce a Bill that would criminalise rent-seeking practices, according to an economic official. The move aims to strengthen governance and combat corrupt practices that distort the economy.
LSN Malaysia ·
KUALA LUMPUR — The government is working towards tabling legislation by 2027 that would make rent-seeking a criminal offense, representing a significant step in the administration's anti-corruption agenda.
The proposed Bill seeks to address economic distortions caused by rent-seeking behaviour, where individuals or entities exploit market positions or regulatory frameworks to gain unearned profits without adding productive value to the economy.
The timeline reflects the government's commitment to implementing comprehensive reforms aimed at improving economic governance and transparency. Officials indicate that the legislative framework is being developed through consultations with relevant agencies and stakeholders to ensure the law effectively addresses the issue while remaining legally sound.
Rent-seeking has long been identified as a drag on Malaysia's economic competitiveness, particularly in sectors affected by licensing requirements and government procurement processes. The proposed criminalisation represents an escalation from current enforcement approaches and signals the government's determination to tackle the practice at the legislative level.
The Bill's introduction would complement existing anti-corruption measures and regulatory safeguards designed to promote fair competition and efficient resource allocation across the economy.