PUTRAJAYA: PRIME Minister Datuk Seri Najib Razak yesterday emphasised two values — integrity and competency — that must be practised by board of directors of Minister of Finance Incorporated (MoF Inc) companies to ensure efficient corporate administration.
Najib, who is also finance minister, said without the two values, everything would be meaningless and the ministry would continue working with the Malaysian Anti-Corruption Commission to appoint board members for MoF Inc’s companies.
“In ensuring corporate integrity, board members are required to undergo screening by the commission before they are appointed.
“We hope every appointment can safeguard the government’s interests. In making decisions, for instance, the board of directors must weigh risks and profits so that smart and accurate decisions can be made.
“At the same time, contracts must be balanced and protect the interests of all signatories,” he said during the launch of the 41-page guideline for MoF Inc’s board of directors here yesterday.
Present were Second Finance Minister Datuk Seri Ahmad Husni Hanadzlah, Auditor-General Tan Sri Ambrin Buang and Treasury secretary-general Tan Sri Dr Mohd Irwan Serigar Abdullah.
Najib said the guidelines would help government officers, who are appointed as board of directors, to play an effective role in corporate administration, while ensuring that ministry’s policies are adhered to and implemented.
“The guideline can boost the board of directors’ effectiveness in the execution of their duties to secure MoF Inc companies’ goals, either concerning financial profits, socio-economic development or rendering better services to the people,” he said, adding that the ministry had supported the auditor-general’s suggestion to publish the book setting the guidelines.
Najib said integrity must be coupled with competency.
“If we have integrity, we
must have competency in our roles as board of directors of MoF
Inc companies.
“Your ideas, roles and decisions must add value for the companies and the government.”
He said it was essential for board of directors to understand government policies that must be implemented at the micro level in MoF Inc companies, citing gender equality and the empowerment of the Bumiputera economy as examples.
“We know them but these policies must be implemented in MoF Inc companies.”