Friday, May 30, 2008

PEMUDAH - Public Procurement Process and Management of Projects Must Reflect Ease and Transparency All the Way

PEMUDAH – the government’s task force for facilitating businesses in Malaysia – will spend the next six months streamlining several processes and measures related to public procurement, facilitating e-payments for all government transactions as well as ease cargo clearance.
This comes in the wake of the Prime Minister’s call made at the ASEAN Integrity Dialogue held recently, for transparency and accountability in all public procurement and tender processes.
PEMUDAH will be formulating a framework to improve the public procurement process, making it more transparent and accountable.
In Co-Chairing the 5th PEMUDAH meeting of the year, the Chief Secretary to the Government, Tan Sri Mohd Sidek Hassan said that they are working towards completing the framework by year-end. PEMUDAH, by virtue of its public-private membership and mandate to facilitate business, is the ideal vehicle to ensure positive improvements to the public procurement system, he further added.
To date, many related initiatives have already been put in place to improve the public procurement system including the issuance of the Treasury Circular Letter (TCL) 5/2007 incorporating changes and improvements to the government procurement rules and procedures.
The Ministry of Finance (MOF) has also expounded blueprint measures to ensure that all government agencies implement and comply with the TCL 5/2007, making the bidding process competitive and transparent.
Initiatives are being implemented to make transactions with Government Agencies more efficient through the streamlining of e-payment systems. By 1 July 2008, all payments to the government will be e-payable. However, counter service would still be made available for those who prefer it. A major initiative, the e-payment implementation process will ‘convert’ the facilities in a total of 106 agencies in three stages. Of the 106 agencies, 21 will be ready by 1 May, followed by another 55 agencies by June1, and 30 agencies by July 2008.
Currently, 83 counters in 72 branches of Road Transport Department (JPJ) accept credit card for payment of renewal of road tax. The debit card will come on stream by the end of 2008. JPJ also accepts payment via e-Services at 111 approved sites for booking of theory test, issuance / renewal of learner’s driving licence, renewal of competent driving licence and traffic summons.
Another key improvement announced today was on pre-clearance of cargo based on Expected Time of Arrival (ETA) of vessels. This will take effect from 1 July 2008. Customs will also be working with the Federation of Malaysian Manufacturers (FMM) to expand its Customs Golden Client and Authorised Economic Operator facilities to companies endorsed by FMM. ETA information will be made available to all Government Agencies ahead of time to facilitate clearance at any time of the day and on weekends and public holidays.
Sidek reminded PEMUDAH members that in the government’s efforts to establish and enhance integrity, the private sector has to also assume its due role. Delays as experienced in the past are not always attributable to government processes but rather they are caused by the private sector.
“The construction industry for example feeds into the lives of many of us in its various form and facets. Therefore the private sector must assume greater responsibility and accountability when implementing these projects. Delays and non compliance from some of these projects has resulted in abandoned project with its associated problems as well as unacceptable levels of disruption and disturbance to lives of people who live and work in the vicinity. Sub standard quality of work by developers and contractors alike has also affected buyers of properties”, he reaffirmed.

Wednesday, May 28, 2008

River Cruises and Rides

The Kelantan River is one of the more magnificient rivers in South-east Asia and is the only river known to flow northwards.

The name of the river can be quite confusing due to the peculiar nomenclature of a Malay for her rivers. All the great rivers of other states in the country such as the Perak River, Pahang River and including the Kelantan river, are called after, or as seems equally probable have given their names to the State of which they are the main artery.

The peculiarity of the Kelantan River consists in fact that instead of tracing the rivers so named along the main channels and right up to their principal source, regarding all lesser confluent streams as tributaries, the Malay runs them to earth in some creek near the mouth of the first tributary, above the confluence of which the main streams take a new name, only to lose it again when the next big tributary is met.

Thus, the main river of Kelantan is known as the Betis for the first twenty miles of her course, then as the Nenggiri, then as the Galas and ultimately as the Kelantan River when it joins the Lebir at Kuala Krai to flow into the South China Sea at Kuala Besar.

Extracted from The Kelantan River and its Bridges by Mike Wrigglesworth

Lebir River

There are a few river trips you can take to explore the interior or the rustic part of Kelantan. The Kelantan River was the main means of transportation in the ancient days. By taking a river cruise or ride you will be transported back in time.

If you are lucky enough, villagers along the river(s) will share their findings from the river(s) with you, such as ancient weapons, keris, spearheads and even coins.

WauKelantan is famous for its kites and kites are famous because of Kelantan. The fascination in kites can only be experienced when we see the huge Kelantan kites swaying in the blue skies. We would be truly experiencing the wonder and beauty of kites when various and numerous colourful designs completely envelop the Kelantan skies.

In northern Malaysia, kites are known as “ Wau”. The history of Malay kites is deeply steeped in legend. Kites had been used in wars to frighten enemies. There is a story of a kite being used by a Malay prince to fly off to meet his love in the heavens.

The Chinese must have brought the kites to the Nusantara region. The Malays developed the kites in their own unique flavour. Kites were made and flown to appease the Weather Gods. Prince Ahmad, son of Mahmud Shah of Malacca flew kites, says the Malay Annals.

The type of decorative designs selected are an individual choice. The designs are influenced by decorations found in carved timber walls, palace pillars or from the borders of sarongs. Flowers and leaf motifs are abundantly found in kite designs.

Traditions demand that kites should have ‘eyes’ to allow the kites to know their way in the celetial realms. Each kite must have a ‘head’, a ‘spine’, a ‘ waist’, a ‘wing’ and a ‘tail’.

The frame of the ‘wau’ should be strong but flexible. A type of bamboo is used for this purpose. Another feature of the kite is the noise making bow or hummer. The noise makes the kite to come ‘alive’. The bow in the frame allows balance in the kites. There is something mystical about the way a kite defies gravity by swaying and climbing slowly up the sky.

There are more than 20 styles of wau bulan or moon kites.

It takes 2 days to 2 weeks to make a ‘wau’. It takes skill and patience to construct a wau. Traditionally, the flying line was a fishing twine made from free fiber wound on a wooden spool. Now modern monofilament nylon is used for kite flying.

Kites are flown after the harvesting season is over. People are happy and free to pursue pastimes. It takes two persons to fly a kite. One lifts the kite (principal) and the other helps the lift (assistant). Kites need strong calm winds for successful flying. Months between May to July see calm winds in the East coast.

The Kelantanese are fond of holding kite competitions. The kite that flies higher and lasts longer would be declared the winner. Successful flying depends equally on the principal (Juru anjong) and the assistant (Juru tarik). The reputation of the village depends heavily on the successful launching and flying this 5ft x 4ft kite.

In the high flying match, two teams of four fliers each pick their best kite and launch. The losing team may choose another kite and try again. The competition continues until all kites of one team have been defeated. In the humming match, the winners are judged by the sound they make continously for 1/4 hour. One must not use modern material to produce the sound in kites.

Kite festivals are often organised by the state government. Tourists can buy souvenir miniature kites throughout Kelantan.

Kelantan success in holding international level events applauded

TUMPAT - Kelantan has been widely acknowledged as successful in holding various international level programmes including the yearly held 2008 Kelantan International Wau Festival.

National Kitefliers Association President (Pelayang), Tan Sri Mohd Ali Hashim said the involvement of numerous countries in the event is an indication of its' success.

"The number of foreign entries is on the increase and this has made the state's wau festival on par with other wau festivals such as the Pasir Gudang Wau Festival in Johor and another in Bintulu, Sarawak," he said at the launch of event at Panting Geting May 24 evening.

It was officially launched by the Kelantan Crown Prince Tengku Muhammad Faris Petra Sultan Ismail Petra.

Also present were the Kelantan assembly speaker Nasuruddin Daud, his deputy Mohd Zaki Ibrahim and exco members Datuk Anuar Tan Abdullah, Mejar (B) Md Anizam Abd Rahman, Dr Mohd Fadhli Hassan and Che Abdullah Mat Nawi.

Delegates from Indonesia, New Zealand, Australia, Austria, Japan, Thailand, China, South Korea, Brunei, India, Pakistan, Cambodia, Singapore, France, Germany, Philippines and Lubnan took part in the event.

Kelantan International Wau Festival first started off 26 years ago.

Saturday, May 24, 2008

Hadi calls for Malay unity, urges all quarters to "save" Malaysia

by Saadon Aksah e-mail address is being protected from spam bots, you need JavaScript enabled to view it
SHAH ALAM - PAS president Datuk Seri Abdul Hadi Awang has reached out to UMNO members and supporters to work together with PAS for the sake of Malay unity and to "save the country".

Abdul Hadi said PAS has worked with UMNO/BN in a coalition government after the 1969 general election but the experience has taught the party that the move by UMNO then was out of political expediency.

Addressing concerns on why the party did not form a coalition with UMNO to "safeguard Malay-Muslims" interests, Abdul Hadi put it to some 20,000 audience present at an event here whether PAS should do just that.

After his question was answered with a resounding "No", Abdul Hadi said promises of development alone were not enough if the country was "suffering from various diseases after 50 years (of independence)".

"Tonight I want to say that UMNO (members and supporters) should work with us but no longer through the Barisan Nasional Front but through an alliance to save the country," he said.

"Umno and BN (members and supporters) should not be arrogant (to discount working together with PAS)," Abdul Hadi said in a post-election speech interspersed with raucous applause from those present.

His remark came a day before the opposition party of PAS, Parti Keadilan Rakyat(PKR) and DAP announced their intention to "consolidate the cooperation" under the name "PAKATAN RAKYAT"

The event held at a stadium filled to a capacity here was also attended by deputy president Nasharuddin Mat Isa, Selangor Menteri Besar Tan Sri Abdul Khalid Ibrahim and DAP central working committee member Ronnie Liu. Abdul Hadi also led a congregation for a special prayer before the speech.

Brave leadership that institute reforms

In his speech Abdul Hadi spelled out key agenda for reforms that need to be embarked by the country on its road to recovery.

He said unjust and discriminatory laws such as the Internal Security Act (ISA) which allows for detention without trial, Universities and Universities Colleges Act that restrict academic freedom and the Official Secret Act which made government business opaque need to either be amended or abolished completely.

He said an immediate electoral reforms need to be undertaken, in particular relating to the task and operations of the Election Commission.

Abdul Hadi also said the Anti Corruption Agency need to be truly independent so that it can be effective in fighting graft.

He also reminded the need for the public faith to be restored in the judiciary and to ensure that it’s truly independent.

He said if Barisan Nasional component parties would not be brave enough to embark on this reform agenda then the Pakatan Rakyat government at the state level would pave the way forward.

"The number of seats (garnered by each party) was not an important factor. What is important, is for the leadership (of any party) to be brave enough to institute fair and just reform," he said.

He was also heartened by the voters decision to support parties across racial divide.

"I was heartened that the Malay could vote for the DAP while the Chinese could vote for PAS. This is a transformation," he said.-ES

Friday, May 23, 2008

Many joining PAS supporters club after disillusionment with BN leadership

NIBONG TEBAL – The Barisan Nasional parliament constituency of Nibong Tebal continues to suffer losses when 120 Malaysians of Indian decided tha Many joining PAS supporters club after disillusionment with BN leadership t they had enough of Barisan Nasional (BN) and joined the Islamic Party of Malaysia (PAS) Supporters Club, according to Changkat PAS secretary Aziz Ramli.

The internal turmoils involving BN and MIC caused the villagers living in the three estates to take the necessary step as they were disappointed with the BN leadership who were mostly interested in taking care of only their cronies, he said.

Thus, when a group of Indian villagers came to us and ask to be members of the supporters club, Changkat PAS branch felt honored.

"Looking this encouraging progress, a ceremony to hand over the membership forms and meet with our leadership was held.

"The were also determined to find and encourage more villagers to join the club to ensure that Pakatan Rakyat continues to hold the parliamentary and state seat in the 13th general election," he added.

Meanwhile, a leaders of the local Indian community, Phonanvirappan explained that the large number of news members into the PAS Supporters' Club showed that PAS is seen as the party that is able to head the political struggle in Malaysia.

PAS sambungnya, terbukti cekal walaupun telah mengalami kekalahan tetapi tetap maju dan sabar sehinggalah kemenangan besar pada pilihan raya umum ke-12 lepas apabila diberikan amanah mentadbir Perak, Kedah dan mempertahankan Kelantan.

He added PAS continued to be determined and patient even though were defeated in the past and it came to fruition with when the party was given the mandate to administer Perak, Kedah and Kelantan.

"PAS is the only party capable of continuing struggle. Even though we are not Muslims, we know that PAS is capable of governing with justice, transparency and tolerance," he said. – rfa/ES

Thursday, May 22, 2008

Malaysia to cut fuel subsidies

KUALA LUMPUR (AFP) - - Malaysia's rich will have to pay more for heavily subsidised items including fuel as part of a new two-tier scheme to reduce government spending, reports said Friday.

"We need to have a good system for those who deserve the subsidy, such as the lower and middle-income groups," the second finance minister, Nor Mohamed Yakcop was quoted saying by The Star daily.

"The prime minister will announce it," he said at a press conference in Singapore without elaborating.

The scheme is expected to be introduced in a few months.

In morning Asian trade, New York's main oil futures contract, light sweet crude for July delivery was at 131.07 dollars per barrel after hitting new record highs of more than 135 dollars a barrel earlier this week.

Malaysia, a net oil exporter, pays a hefty fuel subsidy of 45 billion ringgit (14 billion dollars) based on the oil price of 120 dollars per barrel.

The government's total subsidy bill, including food items, has already hit the 50 billion ringgit mark for the year, and spiralling fuel prices will stretch government spending further, Nor Mohamed said according to state Bernama news agency.

"If we do not do anything, we will have to spend more on subsidy but we are definitely doing something," he said.

Malaysia's state oil giant, Petronas has come under fire by the opposition for not using more of its oil revenues to increase subsidies but Nor Mohamed said the country has to stop relying on Petronas.

"The income from Petronas is not going to last forever. By 2014, we may be a net importer of oil. This money has to be used in income-generating activities so that when we have no oil, we still have income from these investments," he said.

Nor Mohamed said the country's inflation rate was forecast at 3.0 percent or slightly higher from 2.0 percent in 2007.

Malaysia imposed its highest-ever fuel price rises in February 2006, citing the spiralling cost of crude oil. The move was condemned by political and civil groups, arguing it was unnecessary as the country is a net exporter of oil.

Anti-corruption drive: Pakatan attacks track record of Abdullah gov't

KUALA LUMPUR, May 23 (ES) - Opposition parliamentary members occupying 82 out of 222 seats on May 22 offered substantive solutions to strengthen the government's efforts to weed out corruption but at the same time continued to express cynicism at the government's commitment.

The Pakatan Rakyat coalition consisting of MPs from Islamic Party of Malaysia (PAS), the Democratic Action Party (DAP) and People Justice Party (KeADILan) had introduced concepts such as "Press Freedom", independent prosecution and investigation, "Freedom of Information Act", an "independent tender board" for public procurement and the role of spiritual guidance – concepts which in the past which were ignored by a government with a two-thirds majority.

At the same time, Pakatan MPs were questioning follow up action from Abdullah's administration over his involvement in the "oil-for-food" scandal and a recent claim by a ruling backbencher that he was offered a large sum of money to defect to the opposition camp.

Datuk Seri Abdul Hadi Awang (PAS-Marang), who is also PAS president said the government should not only come up with laws but also integrate spiritual aspects to combat corruption.

Lim Kit Siang (DAP-Ipoh Timur), who is also former parliamentary opposition leader questioned the government commitment to act over Kota Belud parliamentary Datuk Abdul Rahman Dahlan's claim that he was offered a huge sum of money by the opposition.

"Will the government advise Kota Belud (parliamentarian) to make a (police) report?," he asked.

Tian Chua (KeADILan-Batu) questioned whether the government would gazette the United Nation's report that cleared Abdullah of receiving any benefit from the "Oil-for-food" scandal to clear "Abdullah's image".

Dzulkifli Ahmad (PAS-Kuala Selangor) wanted to know whether the government would use "independent tender board" accountable to the Parliament for government-to- government procurements especially for the defence sector which has been identified "mine" for corrupt practices.

Compartmentalised solutions

He said negative "perceptions" remained over payment to a third party involved in the government procurements of the "Scorpene" submarines.

Khalid Samad (PAS-Shah Alam) said the government's efforts to combat corruption is being tackled using "compartmentalized" solutions. He said although in certain countries, the Attorney General was appointed but the existence of "Press freedom" and the "Freedom of Information Act" ensured all cases were thoroughly investigated.

In his winding up speech to the Royal address, Minister in the Prime Minister's Department Datuk Seri Mohd Nazri Aziz said the detail of the upcoming Commission against corruption to replace the current Anti Corruption Agency would be announced later.

He said the government is taking into consideration the independence of the Commission and that the current legislation provided for a whistleblower protection but the need for additional act would also be considered Nazri rejected a formation of an independent investigation into Abdullah's involvement in the "oil-for-food" scandal saying that the premier had already been cleared by a UN investigation.

"We don't have to gazette (the result of) the investigation.

"It's a public document," he said.

He also disallowed first time parliamentary member Abdul Rahman’s from responding to attacks from opposition members.

"This is my floor," he said. "He does not need to rise (to respond)," he said.- Saadon Aksah/ES

Many joining PAS supporters club after disillusionment with BN leadership

NIBONG TEBAL – The Barisan Nasional parliament constituency of Nibong Tebal continues to suffer losses when 120 Malaysians of Indian decided that they had enough of Barisan Nasional (BN) and joined the Islamic Party of Malaysia (PAS) Supporters Club, according to Changkat PAS secretary Aziz Ramli.

The internal turmoils involving BN and MIC caused the villagers living in the three estates to take the necessary step as they were disappointed with the BN leadership who were mostly interested in taking care of only their cronies, he said.

Thus, when a group of Indian villagers came to us and ask to be members of the supporters club, Changkat PAS branch felt honored.

"Looking this encouraging progress, a ceremony to hand over the membership forms and meet with our leadership was held.

"The were also determined to find and encourage more villagers to join the club to ensure that Pakatan Rakyat continues to hold the parliamentary and state seat in the 13th general election," he added.

Meanwhile, a leaders of the local Indian community, Phonanvirappan explained that the large number of news members into the PAS Supporters' Club showed that PAS is seen as the party that is able to head the political struggle in Malaysia.

PAS sambungnya, terbukti cekal walaupun telah mengalami kekalahan tetapi tetap maju dan sabar sehinggalah kemenangan besar pada pilihan raya umum ke-12 lepas apabila diberikan amanah mentadbir Perak, Kedah dan mempertahankan Kelantan.

He added PAS continued to be determined and patient even though were defeated in the past and it came to fruition with when the party was given the mandate to administer Perak, Kedah and Kelantan.

"PAS is the only party capable of continuing struggle. Even though we are not Muslims, we know that PAS is capable of governing with justice, transparency and tolerance," he said. – rfa/ES

Wednesday, May 21, 2008

Selangor assembly now live on the internet

KUALA LUMPUR, May 21 (ES) - The Selangor State Assembly proceedings went live on the internet today in accordance to Pakatan Rakyat's commitment to the principle of transparency.

The assembly, which was opened by the Sultan of Selangor Sultan Sharafudin Idris Shah was broadcast live on in the internet for about one and a half hours starting from 10 am today.

It is scheduled to go online again tomorrow until Monday. The live streaming at received some 7,000 hits at the end of its cast.

The state which is being governed by Pakatan coalition comprised of Islamic Party of Malaysia(PAS), People Justice Party (KeADILan) and Democratic Action Party (DAP) is the first state government under the coalition to hold its sitting.

Selangor Science Technology and Innovation committee chairman Rodziah Ismail said this is the first time the full session of the state assembly would be given live coverage.

She told a local daily on Monday that the decision to provide live coverage was consistent with the state's aim of operating a transparent government with good governance.

The Pakatan coalition won 36 out of 56 state seats to form the state government in the last general election. One of its legislator M. Manoharan, who was elected for the state seat of Kota Alam Shah was however currently detained under the draconian Internal Security Act (ISA) since Dec 13 last year.

Selangor however was not the first state to have a live webcast of its assembly proceeding as Kelantan under the administration of PAS had also conducted similar move after wresting control of the state from BN in 1990.

This latest addition however is expected to put more pressure on the federal government led by Barisan Nasional to have a live parliamentary proceeding. - Saadon Aksah/ES

Wednesday, May 14, 2008

Introduction of the Cheque Truncation and Conversion System (CTCS)

Bank Negara Malaysia wishes to announce the introduction of the Cheque Truncation and Conversion System (CTCS) to replace the current cheque clearing system. Cheque truncation is scheduled to go live on 23 May 2008 and cheque conversion in August 2008, both to be implemented first in the Klang Valley. The rollout to the rest of the country will be carried out in phases; the Penang and Johor Bahru regions by October 2008 and the east coast states and east Malaysia by January 2009.

With cheque truncation, the cheque clearing system in Malaysia will be transformed from one driven by the physical exchange of cheques to the electronic capture and transmission of cheque images and data between the banks and the clearing house. Cheque conversion, is also being introduced as a new facility initially for organisations that receive large volumes of cheques such as the utility companies, telcos, insurance companies and stock brokers. This facility would enable such organisations to convert the data in the magnetic ink character recognition (MICR) code in the cheques received on their own, into payment instructions to debit the drawers’ account. This would facilitate the prompt crediting of funds into their accounts.
The introduction of CTCS is an important step in modernising the cheque processing infrastructure in Malaysia as it paves the way towards the electronification of cheques and reduction of risks and costs associated with paper-based payment instruments. Although in recent years, there has been a shift in the payment mode from cheques to electronic payments, cheques continue to be the dominant payment instrument, accounting for 93% of the non-cash payment value. Hence, enhancing the efficiency of cheque clearing would contribute towards lowering operational costs, the cost of doing business thereby enhancing the overall competitiveness for businesses and the economy as a whole.

Customers and businesses will benefit from the speedier and more efficient cheque clearing system especially in the timing of the availability of funds from the deposit of outstation cheques, cheque conversion facility and the return of unpaid cheques to payees. Under the CTCS, outstation as well as local cheques will be cleared on the same day and funds made available as early as the next business day, compared to between 5 to 8 business days for outstation cheques currently. Express clearing of cheques is also available under the CTCS which provides for same day clearing and funds availability.

To facilitate the implementation of the CTCS and to enable the banks to replace the physical presentment of cheques for clearing, the Bills of Exchange Act 1949 has been amended to allow banks to present the electronic image and data of the cheques for payment. The Evidence Act 1950 also recognizes the computer print out of the image and data of cheques as evidence in court in place of the physical cheques. In addition, the printing of the name of the company and the registration number on the cheque in lieu of rubber stamp, chop or seal, complies with the requirements of the Companies Act 1965.

The longer term benefit from the implementation of CTCS is expected to be reaped by businesses, the banking industry and the country as a whole as the electronification of cheques, in particular, the conversion of cheque payments into electronic payment instructions will spearhead the migration to electronic payments. Capitalising on the high number of ATM cards of more than 21 million in the country, efforts are also being undertaken to position the ATM card as a debit card to be used in place of cash. Efforts are also being taken to leverage on the increasing popularity of the Internet as a channel for undertaking banking and payment transactions. In additions, Malaysia's high mobile phone penetration, will also be leveraged upon to increase the adoption and offering of electronic payment services.

See also: FAQs for Cheque Truncation and Conversion System (CTCS)

Bank Negara Malaysia
8 April 2008

© Bank Negara Malaysia, 2008. All rights reserved.

Successful Roll Out of the Financial Sector Talent Enrichment Programme (FSTEP)

Bank Negara Malaysia wishes to announce that the FSTEP successfully rolled out its programme with the first batch of 297 candidates selected out of a total of about 2,900 applicants. These candidates from local universities are from a diverse academic background and with excellent academic credentials. The FSTEP is a 12-month programme developed to prepare participants for the financial services industry. The participants receive a scholarship of RM2,200 per month as well as basic medical and insurance coverage. Participants who successfully completed the programme will be absorbed into the financial sector. This initiative is to provide a supply of high powered talent into the financial services industry.

Participants in the programme will receive training and gain exposure in commercial banking, investment banking, Islamic banking as well as insurance and takaful through rigorous technical classroom and on-the-job training. The facilitators of the programme comprise of professionals as well as practitioners who will share their experience and insights of the financial industry. The participants will also receive training in personal and character development programmes to enhance their leadership qualities and communication skills.

A part of the FSTEP programme is the opportunity for the participants to engage with prominent financial industry leaders. In the inaugural engagement session, participants of the FSTEP programme had the opportunity to interact and discuss with the Governor of Bank Negara Malaysia, Tan Sri Dr.Zeti Akhtar Aziz on the role of the Central Bank in macroeconomic management, its role as a regulator and its role in developing the financial sector. Wide ranging issues were discussed including current developments in the international financial system.

FSTEP, a pioneering programme developed by the financial services industry in collaboration with Bank Negara Malaysia was an initiative to support the human capital requirement of the financial services industry.

© Bank Negara Malaysia, 2008. All rights reserved.

Tuesday, May 13, 2008

Central Bank of Malaya

Objectives & Functions

Bank Negara Malaysia is the central bank for Malaysia. It was established on 26 January 1959, under the Central Bank of Malaya Ordinance, 1958, with the following objectives:

  1. To issue currency and keep reserves safeguarding the value of the currency;
  2. To act as a banker and financial adviser to the Government;
  3. To promote monetary stability and a sound financial structure;
  4. To promote the reliable, efficient and smooth operation of national payment and settlement systems and to ensure that the national payment and settlement systems policy is directed to the advantage of Malaysia; and
  5. To influence the credit situation to the advantage of the country.

In meeting these objectives, the Bank is guided by the principle that it should act only in the economic interest of the nation and without regard to profit as a primary consideration.

First HQ Hence, the functions of the Bank are carried out within the context of the broader goals of promoting economic growth, a high level of employment, maintaining price stability and a reasonable balance in the country's international payments position, eradicating poverty and restructuring society.

In particular, the Bank ensures that the availability and cost of money and credit in the economy are consonant with national macroeconomic objectives. In this respect, the Bank acts as the banker for currency issue, keeper of international reserves and safeguarding the value of the ringgit, banker and financial adviser to the Government, agency responsible for monetary policy and management of the financial system and banker to the banks.

Mission Statement

Bank Negara Malaysia, as the Central Bank, is committed to excellence in promoting monetary and financial system stability and fostering a sound and progressive financial sector, to achieve sustained economic growth for the benefit of the nation.

This will be achieved through:

  • promoting a work culture which emphasises the highest standards of professionalism and integrity, prudence, teamwork and innovation;
  • developing and maintaining a committed workforce which is highly competent and proactive, sensitive to the changing needs of the industry;
  • adopting a collaborative approach in everything we do;
  • promoting the effective use of technology and good work practices to enhance productivity, efficiency and quality;
  • adopting policies and practices to enhance the competitiveness of local financial institutions to face international competition; and
  • having the necessary financial resources and financial instruments to effectively manage monetary stability.


Section 9 (1) of the Central Bank of Malaysia Act 1958 provides that the Governor shall be appointed by the Yang Di Pertuan Agong, and the Deputy Governors by the Minister of Finance. Since the Bank's inception in 1959, there has been seven Governors.

Tan Sri Dato' Sri Dr. Zeti Akhtar Aziz
Since May 2000

Tan Sri Dato' Seri Ali Abul Hassan bin Sulaiman
September 1998 - April 2000

Tan Sri Dato' Ahmad bin Mohd Don
May 1994 - August 1998
Tan Sri Dato' Jaffar bin Hussein
June 1985 - May 1994

Tan Sri Abdul Aziz bin Taha
July 1980 - June 1985

Tun Ismail bin Mohamed Ali
July 1962 - July 1980
Tan Sri W.H. Wilcock

Board of Directors

The policy of the Bank is entrusted to its Board of Directors, which presently consists of nine members. The ex-officio members of the Board are the Governor, the Deputy Governors and the Secretary-General to the Treasury. The other directors are persons of standing and experience in banking and economic affairs. All members except the Deputy Governors are appointed by His Majesty the Yang Di-Pertuan Agong. The Governor, or in his or her absence, one of the Deputy Governors, is the chairman of the Board, which is statutorily required to meet at least once a month. The current members are:

Dr. Zeti Akhtar AzizTan Sri Dato' Sri Dr. Zeti Akhtar Aziz
D.K. (Johor), P.S.M., S.S.A.P., D.P.M.J.
Governor and Chairman
Dato' Ooi Sang KuangDato' Ooi Sang Kuang
Deputy Governor
Datuk Zamani bin Abdul GhaniDato' Zamani bin Abdul Ghani
D.P.S.K., D.M.S.M., D.S.M., K.M.N.
Deputy Governor
Dato' Mohd Razif Abdul KadirDato' Mohd Razif bin Abdul Kadir
D.I.M.P., D.P.M.P.
Deputy Governor
Dato' Dr. Wan Abdul Aziz bin Wan Abdullah Dato' Sri Dr. Wan Abdul Aziz bin Wan Abdullah
S.S.A.P., D.P.S.K., A.M.N.
Secretary-General to the Treasury
Datuk Oh Siew NamDatuk Oh Siew Nam
Tan Sri Datuk Amar Haji Bujang bin Mohd. NorTan Sri Datuk Amar Haji Bujang bin Mohd. Nor
P.S.M., D.A., P.N.B.S., J.S.M., J.B.S., A.M.N., P.B.J., P.P.D.(Emas)
Dato' N. SadasivanDato' N. Sadasivan
D.P.M.P., J.S.M., K.M.N.
Tan Sri Dato' Sri Mohd. Hassan MaricanTan Sri Dato' Sri Mohd. Hassan Marican
P.S.M., S.P.M.T., D.S.M.T., P.N.B.S., A.M.K.
January 1959 - July 1962

Senior Officers of the Bank

This list is valid as at 14 March 2008. The general telephone number for the Bank's Head Office in Kuala Lumpur is +(603) 2698 8044.

Governor's Office

Designation Name Extension
Governor Tan Sri Dato' Sri Dr. Zeti Akhtar Aziz 7211
Deputy Governor Dato' Ooi Sang Kuang 7530
Deputy Governor Dato' Zamani bin Abdul Ghani 7487
Deputy Governor Dato' Mohd Razif bin Abd. Kadir 7213
Assistant Governor Dato' Mohamad Daud bin Hj Dol Moin 7279
Assistant Governor En. Muhammad bin Ibrahim 7298
Assistant Governor Pn. Nor Shamsiah binti Mohd Yunus 7273
Assistant Governor Dato' Mohd Nor bin Mashor 7224
Assistant Governor Lillian Leong Bee Lian 7400
Assistant Governor Gopala Krishnan Sundaram 7226
Assistant Governor Vacant -
Secretary to the Board Dato' Mohd Nor bin Mashor 7224


Department Name Telephone / Extension
Corporate Communications Abu Hassan Alshari bin Yahaya 7986
Internal Audit Hor Weng Keng +(603) 2274 7803
Monetary Assessment and Strategy Dr. Sukhdave Singh 7731
Economics Marzunisham bin Omar 7728
International Ismail bin Alowi 7272
Statistical Services Chew Siew Kheam 7685
Human Resource Development Centre Arlina binti Ariff +(603) 7956 5080
Strategic Management Donald Joshua Jaganathan 7334
Risk Management Santhini a/p Chandrapal +(603) 2273 8391
Legal Gopala Krishnan Sundaram 7226
IT Services Alizah binti Ali 7340
Finance Abdul Aziz bin Abdul Manaf 7360
Investment Operations and Financial Market Norzila binti Abdul Aziz 8966
Foreign Exchange Administration Wan Hanisah binti Wan Ibrahim 7353
Currency Management and Operation Ramli bin Saad 7239
Special Investigation Johar bin Mokhtar 8166
Financial Intelligence Jeremy Lee Eng Huat -
Human Resource Management Kamari Zaman bin Juhari 7551
Corporate Services Dato' Mohd Nor bin Mashor 7224
Property & Services Zulkifli bin Abd. Rahman +(603) 2274 9232
Security Mior Mohd Zain bin Mior Mohd Tahir 7397
Sasana Kijang PMO Lim Foo Thai 8305
Central Banking Services V. Vijayaledchumy 7672
Financial Conglomerates Supervision Che Zakiah binti Che Din 7315
Banking Supervision Chung Chee Leong 7579
Insurance and Takaful Supervision Yap Lai Kuen +(603) 22635000 ext. 2703
IT and DFI Supervision Mahdi bin Mohd. Ariffin +(603) 2031 2200
Payment Systems Policy Cheah Kim Ling 7533
Financial Sector Development Ahmad Hizzad bin Baharuddin 8395
Financial Surveillance S. Abd. Rasheed bin S. Abd. Ghafur 7593
Prudential Financial Policy Jessica Chew Cheng Lian 7692
Consumer and Market Conduct Koid Swee Lian 7229
Islamic Banking and Takaful Bakarudin bin Ishak 8109
Development Finance and Enterprise Vacant -
MIFC Promotion Unit Shariffuddin bin Khalid 8774

Branch & Representative Office Managers

Branch / Representative Name Telephone
BNM London Representative Office Azman Mat Ali +(44 20) 7495 0222
BNM New York Representative Office K. Mahendran +(1 212) 888 9221
BNM Pulau Pinang Vacant +(604) 261 6866
BNM Johor Bahru Abdul Aziz Ahmad +(607) 224 8935
BNM Kota Kinabalu Ahmad bin Abd Rahim +(6088) 211 369
BNM Kuching Ishak bin Musa +(6082) 258 799
BNM Kuala Terengganu Azizan Mohd Ali +(609) 622 0460
Shah Alam Currency Distribution and Processing Centre Mohd Khir Hashim +(603) 5512 5746

Contacting the Bank

Members of the public can contact BNMLINK and BNMTELELINK for information, enquiries or redress in the areas of conventional and Islamic banking, insurance and takaful, advisory services for small and medium enterprises, foreign exchange administration and other matters under Bank Negara Malaysia's purview.

BNMLINK provides walk-in customer services and operates from Monday - Friday, 9.00 a.m. - 5.00 p.m. at our headquarters in Kuala Lumpur . Please click here for more information on BNMLINK.

BNMTELELINK complements the walk-in counter services of BNMLINK for the general public and can be contacted directly either by telephone, fax, letter or email.

For general enquiries or comments, please send your emails to bnmtelelink@ Any questions or comments related to the BNM web site, please e-mail to webmaster@ While we greatly value your feedback and comments, please note that due to the volume of mail that we receive, we may not be able to respond immediately. Nevertheless, we endeavour to reply to queries within five days.

Below are the contact information for our Head Office, BNMLINK and BNMTELELINK in Kuala Lumpur, six regional branch offices and two overseas representative offices.

Head Office

Bank Negara Malaysia
Jalan Dato' Onn
P.O. Box 10922
50929 Kuala Lumpur

Tel: 603-2698-8044
Fax: 603-2691-2990

Telex : MA 34137 / MA 34138

Laman Informasi Nasihat dan Khidmat (BNMLINK)
(Walk-in Customer Service Centre)
Ground Floor, D Block,
Jalan Dato' Onn
50480 Kuala Lumpur

Operating Hours: 9.00 a.m. - 5.00 p.m. (Monday - Friday)

Contact Centre (BNMTELELINK)
Corporate Communications Department
Bank Negara Malaysia
P.O. Box 10922
50929 Kuala Lumpur

Tel : 1-300-88-5465 (1-300-88-LINK)
(Overseas: 603-2174-1717)
Fax: 603-2174-1515
E-mail: bnmtelelink@

Operating Hours: 9.00 a.m. - 5.00 p.m. (Monday - Friday)

Branch Offices

Bank Negara Malaysia Pulau Pinang
Jalan Corner Light
10200 Pulau Pinang

Tel: 604-262-7125

Bank Negara Malaysia Johor Bahru
Jalan Bukit Timbalan
80000 Johor Bahru
Johor Darul Takzim

Tel: 607-224-0799

Bank Negara Malaysia Kota Kinabalu
Jalan Datuk Chang Thain Vun
88000 Kota Kinabalu

Tel: 6088-211-211

Bank Negara Malaysia Kuala Terengganu
Jalan Sultan Mohamad
21100 Kuala Terengganu
Terengganu Darul Iman

Tel: 609-622-0571

Bank Negara Malaysia Kuching
Jalan Satok
93000 Kuching

Tel: 6082-252-311

Shah Alam Currency Processing & Distribution Centre
Persiaran Tasek
40000 Shah Alam
Selangor Darul Ehsan

Tel: 603-5512-5746

Overseas Representative Offices

Bank Negara Malaysia
New York Representative Office

900, Third Avenue, 18th Floor
New York, NY 10022
United States of America

Tel: 1-212-888-9220
Fax: 1-212-755-4561

Click for map ©

Bank Negara Malaysia
London Representative Office

Suite 1, 8th Floor
Berkeley Square House
Berkeley Square
London W1X 5LA
United Kingdom

Tel: 44-20-7495-0222
Fax: 44-20-7499-7428

Click for map ©

Administered Legislation

To enable the Bank to meet the objectives of a central bank, it is vested with comprehensive legal powers under the following legislation to regulate and supervise the financial system. These pieces of legislation include:

Central Bank of Malaysia Act 1958 (Revised 1994)

An Act to provide for the establishment, administration, powers and duties of a Central Bank of Malaysia. Incorporating Latest Amendments up to Act A1328/2008 - cif : 8 February 2008

Full Text

Banking and Financial Institutions Act 1989 (BAFIA)

An Act to provide new laws for the licensing and regulation of institutions carrying on banking, finance company, merchant banking, discount house and money-broking businesses, for the regulation of institutions carrying on certain other financial businesses, and for matters incidental thereto or connected therewith. Incorporating Latest Amendments up to Act A1256/2005 - cif : 1 Apr. 2006

Full Text

Exchange Control Act 1953

An Act to confer powers, and impose duties and restrictions in relation to gold, currency, payments, securities, debts, and the import, export, transfer and settlement of property, and for purposes connected with the matters aforesaid. Incorporating Latest Amendments up to Act A1241/2005 - cif : 1 Jan. 2007

Full Text

Islamic Banking Act 1983

An Act to provide for the licensing and regulation of Islamic banking business. Incorporating Latest Amendments up to Act A1307/2007 - cif : 31 July 2007

Full Text

Insurance Act 1996

An Act to provide new laws for the licensing and regulation of insurance business, insurance broking business, adjusting business and financial advisory business and for other related purposes. Incorporating Latest Amendments up to Act A1247/2005 - cif : 1 Jan. 1997

See also : Guidelines on Application for Financial Adviser's Licence under the Insurance Act 1996 [PDF, 38K] (Revised Date - 18 September 2007)

Guidelines to facilitate applications for a financial adviser's licence under section 17 of the Insurance Act 1996. Attached are the relevant application forms:-

Full Text

Takaful Act 1984

An Act to provide for the regulation of takaful business in Malaysia and for other purposes relating to or connected with takaful. Incorporating Latest Amendments up to Act A1306/2007 - cif : 31 July 2007

Full Text

Development Financial Institutions Act 2002 (Act 618)

The DFIA which came into force on 15 February 2002 focuses on promoting the development of effective and efficient development financial institutions (DFIs) to ensure that the roles, objectives and activities of the DFIs are consistent with the Government policies and that the mandated roles are effectively and efficiently implemented. DFIA also emphasises on efficient management and effective corporate governance, provides a comprehensive supervision mechanism and mechanism to strengthen the financial position of DFIs through the specification of prudential requirements. Incorporating Latest Amendments up to PU(A)285/2007 - cif : 31 August 2007

See also : The Salient Features of the DFIA

Full Text

Anti-Money Laundering and Anti-Terrorism Financing Act 2001 (Act 613)

This renamed and revised Act which came into force on 6 March 2007, is to provide for the offence of money laundering, the measures to be taken for the prevention of money laundering and terrorism financing offences and to provide for the forfeiture of terrorist property and property involved in, or derived from, money laundering and terrorism financing offences, and for matters incidental thereto and connected therewith.Incorporating Latest Amendments up to
Act A1208/2003 - cif : 6 March 2007
PU(A) 101/2007 - cif : 9 March 2007
PU(A) 102/2007 - cif : 9 March 2007
PU(A) 103/2007 - cif : 9 March 2007
PU(A) 104/2007 - cif : 9 March 2007
PU(A) 105/2007 - cif : 9 March 2007
PU(A)385/2007 - cif : 22 November 2007
PU(A)435/2007 - cif : 29 December 2007

Full Text

See also: Essential (Protection of Depositors) Regulations 1986
Loan (Local) Ordinance 1959

Payment Systems Act 2003 (Act 627)

An Act to make provisions for the regulation and supervision of payment systems and payment instruments and for matters connected therewith. Came into force on 1 Nov 2003.

Full Text

See also: Submission Guideline for Operating Payment System or Issuing Designated Payment Instrument

Money-Changing Act 1998 (Act 577)

An Act to provide for the licensing and regulation of money-changing business and for other matters related thereto. Incorporating Latest Amendments up to PU(A) 237/2006 - cif : 21 Jul 2006

Full Text

Detailed Disclosure of International Reserves as at end-March 2008

In accordance with the IMF SDDS format, the detailed breakdown of international reserves provides forward looking information on the size, composition and usability of reserves and other foreign currency assets, and the future and potential inflows and outflows of foreign exchange of the Federal Government and Bank Negara Malaysia over the next 12-month period.

The detailed breakdown of international reserves based on the SDDS format is shown in Tables I, II, III and IV. As shown in Table I, official reserve assets amounted to USD120,289.2 million while other foreign currency assets amounted to USD24,625.3 million as at end-March 2008. As shown in Table II, for the next 12 months, the predetermined short-term outflow of foreign currency loans would amount to USD984 million arising from scheduled repayment of external borrowings by the Government. Effective from April 2006, data excludes projected foreign currency inflows arising from interest income and drawdown of project loans amounting to USD4,312 million in the next 12 months. As shown in Table III, the only contingent short-term net drain on foreign currency assets are Government guarantees of foreign debt due within one year, amounting to USD364 million. There are no foreign currency loans with embedded options, no undrawn, unconditional credit lines provided by or to other central banks, international organisations, banks, and other financial institutions. Bank Negara Malaysia also does not engage in options in foreign currencies vis-a-vis ringgit. As shown in Table IV, repo and securities lending activities were insignificant.

Overall, the above detailed breakdown of international reserves under the IMF SDDS format indicates that as at end-March 2008, Malaysia's reserves remain usable and unencumbered.

Table I: Official reserves assets and other foreign currency assets
Table II: Predetermined short-term net drains on foreign currency assets
Table III: Contingent short-term net drains on foreign currency assets
Table IV: Memo Items

Bank Negara Malaysia
30 April 2008

© Bank Negara Malaysia, 2008. All rights reserved.