OPENING SPEECH YBHG. DATO’ DR. MAZLAN YUSOFF

Draft as of 26 July 2019

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OPENING SPEECH

YBHG. DATO’ DR. MAZLAN YUSOFF

DIRECTOR GENERAL OF MALAYSIA

ADMINISTRATIVE MODERNISATION AND

MANAGEMENT PLANNING UNIT (MAMPU)

“INSTITUTIONAL REFORM:

LAYING A SOLID FOUNDATION FOR GROWTH”

29 JULY 2019

DEWAN SERI BAIDURI, INTAN BUKIT KIARA.


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Assalamualaikum Warahmatullahi Wabarakatuh and a very good

morning.

Distinguished speaker Dr. Andrew D. Mason, Acting Chief Economist for

East Asia and Pacific Region, The World Bank,

Dr. Bakhari Ismail, Senior Deputy Director, INTAN

Ms. Rajni Bajpai, Lead Governance Specialist, The World Bank,

Secretaries General and Directors General of the various ministries and

Departments,


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Our beloved PTD Alumni namely

Tan Sri Dato' Sri Dr. Mohd Nasir Haji Mohd Ashraf, Naib Presiden;

Datuk Dr. P. Manogran@Manoharan,

Dato' Sirajuddin Haji Salleh,

Hajah Ainon Kuntom,

Puan Lee Meng Foon,

YBhg. Tan Sri-Tan Sri, Dato’ Sri-Dato’ Sri, Datuk-Datuk

Honoured guests, ladies and gentlemen.

OPENING REMARKS

1. First and foremost, I would like to extend sincerest apology on behalf

of the Chief Secretary to the Government, YBhg. Datuk Seri Dr. Ismail bin

Hj. Bakar for not being able to attend and officiate this program.

Unfortunately, he has other priority to focus on a last minute arrangement.

However, I believe it will not jeopardize the intended objectives of this

program as we hope for.

2. Moving on, let me wish a warm welcome to our guest, Dr. Andrew

Mason, Acting Chief Economist East Asia and Pacific Region, World Bank,

who has traveled all the way from Washington DC to be with us today. He

is no stranger to Malaysia as he has had a long engagement with Malaysia

through the World Bank programmes. I am also happy to see a strong


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representation from the World Bank office in Kuala Lumpur. Therefore, I

am very happy that today we are going to share some of this collective

experience and expertise.

3. Permit me, at this juncture, to also take this opportunity to

congratulate the organizer, for taking the initiative to organize this event.

My gratitude also goes to INTAN, the National Institute of Public

Administration for providing the venue for this event.

Ladies and Gentleman,

4. Since taking over, the new government has undertaken various

efforts to improve the effectiveness of the government as a whole. Various

policies and initiatives have been initiated.


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5. These policies and initiatives will be incorporated in the 12th Malaysia

Plan that is currently being drafted. The plan is aimed at improving

people's standard of living in order to reach a high-income nation with own

mould which is in line with the Shared Prosperity 2030 as aspired by the

YAB Prime Minister.

6. As a member of the international community, Malaysia has had a

very long-standing relationship with the World Bank. The formulation of

our earliest Five-Year Plans were initially supported by experts from the

World Bank through the advisory services of various experts. Over the

years, the bank has continued to monitor Malaysia’s progress. The views

and specialized knowledge of the Bank have always been useful to the

government and for us to make the adjustments where necessary.

7. So how has Malaysia progress?


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8. From 1971 to 2018 Malaysia recorded a 6.1% average Gross

Domestic Product despite facing five economic crises. Each time Malaysia

has been able to rebound. The country has enjoyed low and stable

inflation and full employment since 1992. Absolute poverty has almost

been eradicated. Today only 0.4% of households fall in this category. The

fact that the Malaysian economy is still regarded as attractive by foreign

investors shows that there is still more potential for growth.

9. Under the new government, there has been improvement in

reducing corruption. The latest Perception Survey of The Effectiveness of

Corruption Prevention Act by the Malaysian Anti-Corruption Commission

shows that people's perceptions of the government's seriousness in

preventing corruption increased by 11% from 59.8 % in 2016 to 70.8 % in

2018.

10. Over the last 19 years, the Edelman Trust Barometer has detected

and documented some of the largest opinion shifts shaping the world. As

for the case of Malaysia, reports showed that percentage trust in

government rises from 46% in 2018 to 60% in 2019.

11. Malaysia also recorded an improvement in the Democracy Index by

7 place to 52th out of 167 countries evaluated in 2018 compared with 59th

(2017) as reported by The Economist Intelligence Unit (EIU). Additionally,

the 2019 World Press Freedom Index ranked Malaysia among the first

countries in Southeast Asia and 123 compared to 145 countries in the

world.


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12. The World Bank Ease of Doing Business places Malaysia up nine

stairs from 24th in 2018 and rises to 15th in 2019. Malaysia also remains

at number 22 in the IMD World Competitiveness Yearbook 2019 which

rates the competitiveness of countries around the world. Among the 63

countries listed this year the IMD World Competitiveness Centre in

Lausanne, Switzerland Malaysia scored 82.54 out of 100 points. It is

interesting to note that the report showed improvement in institutional

related indicators such as bribery and corruption, transparency,

bureaucracy, justice, social cohesion and public finance in term of

rankings and value scored compared to the previous year. Malaysia was

ahead of countries like Belgium (27th), Korea (28th), and Japan (30th).

13. However, today we are confronted by what economists have termed

as the Middle Income Trap. The policies that have brought us to this stage

of development appear to be not sufficient enough to enable us to make

the leap to the next level. This is our challenge.

14. Definitely as it is said, we could not be doing the same thing over

and over again and expecting different results. Hence, as we stand at the

threshold of 2020, the foundation of the 12th Malaysian Plan must be

fundamentally different. We need to address the core impediments and

obstacles that stand in the way. We need to re-look at our policies and

institutional structures as well.

15. Since forming the government after the last general elections, Prime

Minister Tun Dr Mahathir Mohamad had stressed the importance of

reforms of critical institutions. Among them is the civil service. He has


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underscored the importance of the reform of the civil service as essential

to restore the trust and confidence of the people.

16. Although it sounds straight forward, institutional reform of the civil

service is a complex undertaking. With 1.6 million people employed, the

Malaysian civil service is the biggest employer in the country. The civil

service consumes estimated 82 percent of Malaysia’s operational

expenses of the annual budget for 2019. Reforms must therefore take into

account the large politico-economic footprint of the civil service. While we

look at enhancing efficiency and professionalism, reform must also ensure

that public confidence is safeguarded.


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Ladies and gentlemen,

17. We hope that through this forum we would be exposed to the

experiences of other countries that have embarked on a similar journey. I

understand that MAMPU will produce a report on the outcome of today’s

deliberations. I hope that the report would be useful in the formulation of

the 12th Malaysian Plan and also our Institutional Reform agenda.

CLOSING REMARKS

Ladies and Gentlemen,

18. In concluding, let me once again congratulate the organizer for

arranging this event. With this remarks I declare this forum open.

Wabillahitaufiq wal hidayah, wassalamu’alaikum wa rahmatullahi wa

barakatuh.

Thank you.

OPENING SPEECH YBHG. DATO’ DR. MAZLAN YUSOFF

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