COMMENT | Critical to plug corruption floodgates in 12MP budget splash

COMMENT | Prime Minister Ismail Sabri Yaakob has tabled the 12th Malaysia Plan (12MP) in the Dewan Rakyat announcing that the government will allocate RM400 billion for existing and new development projects.

Public projects can be very costly as a big sum of money is being spent by the government on these megaprojects.

This allows for those involved in awarding the projects to take the opportunity to abuse their power and to commit corrupt practices.

The situation is made worse where some mega projects are awarded through direct negotiations and limited tenders to their cronies or certain companies.

Even in the open tender, it should not be tainted by corruption and bid-rigging.

According to the World Bank, it is estimated that 20-30 percent of the budget for public contracts is wasted.

This finding matches with what Ambrin Buang, the former auditor-general predicted, that up to 30 percent of Malaysia's public projects value was lost to mismanagement and corruption.

Consider the amount of savings the government would have obtained if it pays 30 percent less for goods and services that the contractors and vendors will provide out of a total RM400 billion in the 12MP.

If left unchecked, the present crisis may develop into a worst-case scenario and one can expect another full-blown corruption scandal.

MACC chief Azam Baki said corruption cases...