KUALA LUMPUR: Khazanah Nasional Bhd managing director Datuk Shahril Ridza Ridzuan says Malaysia's government-linked companies (GLCs) can be regulated via industry regulators rather than through the government's golden share concept.
This was because the nation had really good regulators now for industries like the energy, aviation and telecommunication sectors, Shahril was quoted by theedgemarkets.com.
"You can actually regulate how the businesses run through regulation rather than through the golden share.
“In the past, when regulation was not really effective enough, and there was not a very good professional framework, the golden share was a way [for] the government [to] control how these companies operate," he said at the Bank Rakyat Integrity Forum 2020 here today.
Shahril said in a company, where the government owns a golden share, board members can recommend a candidate for a certain position but the government can decide to appoint someone else.
The government's decision to override board members' decision in such matters was wrong from a commercial and business point of view, he added.