KUALA LUMPUR: A new legislation known as the Anti Rent-Seeking Act is set to be presented in Parliament by the end of this year, as disclosed in the Dewan Rakyat.
The Economy Minister, Rafizi Ramli, shared that the government is currently in the process of examining the framework for this act.
He mentioned, “The drafting of this act will involve gathering input from various stakeholders to gain a comprehensive understanding of the issues spanning across different sectors and laws.”
In response to a query by Datuk Dr Alias Razak (PN-Kuala Nerus) regarding the status of an anti-“Ali Baba” legislation aimed at preventing the renting of business licenses to foreigners, Rafizi clarified the need for rigorous study in preparation for the Act.
Similarly, when questioned by Zahari Kechik (PN-Jeli), he emphasized that thorough research is essential to grasp the essence of rent-seeking activities and the necessary steps for enhancing enforcement.
Rafizi stated, “The upcoming Anti-Rent Seeking Act will establish a clear definition of rent-seeking practices, outline the various levels of activities involved, and establish channels for lodging complaints, among other aspects.”
Highlighting the urgency of such legislation, Rafizi explained that current laws such as the Malaysian Anti-Corruption Commission Act 2009, the Competition Act 2010, the Companies Act 2016, as well as existing bylaws, fall short of providing a comprehensive solution to combat rent-seeking practices.
He also pointed out the negative repercussions of rent-seeking on the economy, stating, “It leads to an increase in operational costs, compromises the quality of goods and services, and widens the gap of inequality within society and the economy.”
