8 Public Finance Strategy – the Pakatan Rakyat budgetary framework
8.1 Rationalising Expenditures, Efficiency and Value for Money The Pakatan Rakyat government will strive to contain expenditures with the ultimate objective of ensuring the long-term sustainability of public expenditures while supporting the continued growth of the economy and the achievement of a high quality of life for all the rakyat.
Rationalising expenditures will restore fiscal space for Malaysia to face future adversities from global perturbations and ameliorate the uncertainties from the accelerating debt burden facing future generations of Malaysians.
In the short-run, while limiting expenditures, Pakatan Rakyat will put in place resolute policies to improve the efficiency of public outlays and simultaneously generate greater value for money. This will bring immediate and direct benefits to the rakyat in the form of better public services (education, health, education and social services), employment prospects, security, and infrastructure.
We are confident with the results experienced thus far in States governed by Pakatan Rakyat, that such improved transparency will lead to better price discovery, lower the overall costs for government and deliver the value contracted without delays and undue costs overruns. The open tender process will be accompanied by the mandatory introduction of value management planning for public expenditures above a certain size at all levels of government.
As part of open tenders, value management and improved expenditure controls, Pakatan Rakyat policies would place special attention on performance management, timely completion and limiting costs overrun. Performance bonds of contractors will be strictly enforced and Pakatan Rakyat will make certain that cost-overruns will not be absorbed solely by the government. There will be open dissemination of all pertinent information and stages of completion updates on contracted projects.
Over the medium- to long-term, Pakatan Rakyat will put in place important policy initiatives to strengthen public administration and finances:
8.2 Making more responsible use of our oil wealth Oil and gas reserves are finite resources. For the past four decades, our oil and gas riches have cushioned the financial and economic impacts of various global and domestic shocks.
At the current reserve replacement and production rates, it is estimated our oil and gas reserves will last another 20 and 35 years, respectively. The proceeds from our rapidly depleting natural endowment must be better managed and preserved for the benefit of future generations of Malaysians.
Pakatan Rakyat will instill responsible management that adds value to the nation’s oil wealth:
8.3 Making fuller use of our MP’s expertise, skills and talents In our system of parliamentary democracy, Members of Parliament, or MPs, are required to provide input and exercise supervision over the Executive, or government led by the prime minister.
The role of the MPs has been increasingly marginalised as the Barisan Nasional government concentrates power in the hands of the prime minister and his cabinet. For example, in the case of the Budget, media and public attention focuses on the Minister of Finance’s Budget speech. After the requisite fawning comments and feedback following the speech on Friday, media and public attention wanders elsewhere.
It is conveniently forgotten that the Minister of Finance gives his speech and tables the proposed Budget for a reason. The proposed Budget is tabled for the consideration and approval of Parliament. It should not be a fait accompli nor a set of unfathomable announcements.
The Budget deliberations are considered so important that no fewer than 18 sitting days, equivalent to nearly a calendar month, are devoted to debate in the “Committee” stage.
In the “Committee Stage”, the budget for each Ministry should be discussed and debated in detail. However, this is currently not possible in Malaysia.
Pakatan Rakyat considers the input of MPs as very important. MPs represent the interests of the rakyat. Pakatan Rakyat will implement proper “Committee Stage’ debates:
Pakatan Rakyat believes this will result in Budgets that are more effective and reflective of the wishes of the rakyat:
Pakatan Rakyat proposes the following 7 Committees and the current Ministries they will oversee:
- National & International Affairs
- Economics & Finance
- Security
- Education, Talent & Employment
- Agriculture and Regional Development
- Infrastructure, Resource Management & Environment
- Community Wellbeing
[Pakatan Rakyat Budget 2012 released by Datuk Seri Anwar Ibrahim on behalf of PR in Kuala Lumpur on 4th October 2011. Part 9 of 10]
| [<< Part 8] | [Part 10 >>] |