Nation

CAP : Monitor use of funds to prevent questionable expenditures

GEORGE TOWN: The government has been told to closely monitor funds allocated for various projects and programmes under the 2025 Budget.

Consumers' Association of Penang (CAP) president Mohideen Abdul Kader said this must be done to ensure targets are achieved.

He said previous Auditor-General's reports had uncovered questionable expenditures and leakages.

"Rigorous oversight is essential to ensure that funds are used effectively and transparently," he said in a statement today.

Prime Minister Datuk Seri Anwar Ibrahim, in his budget speech, had announced RM335 billion for

operating expenses and RM86 billion for development expenditure.

CAP has welcomed the measures outlined in budget, aimed at consolidating an economy weakened by decades of dependence on imports, flawed agricultural policies, corruption, and poor programme implementation.

CAP said the underlying policy to help the needy and tax the rich was laudable.

Mohideen said the budget provision to increase the minimum wages of workers from RM1,500 to RM 1,700 was long overdue.

He said it must be the first step towards a living wage for workers which, in the cities now, is around RM2,700.

"Workers are currently paid low wages, which constitute only 32.4 per cent of the company income, far below the global average of 40 per cent and the Madani economy framework target of 45 per cent in 10 years."

He said this imbalance disproportionately affects low- and semi-skilled workers, whose salaries are not keeping pace with inflation.

"The current minimum wage of RM1,500 is inadequate, particularly after mandatory deductions for the Employees Provident Fund (EPF) and Social Security Organisation (Perkeso), and does not keep up with inflation.

"The proposed increase is a necessary step to ensure workers' livelihoods," he said in a statement today.

The prime minister had announced that the minimum wage would be raised from RM1,500 to RM1,700 a month, effective Feb 1, 2025.

He said for employers with less than five workers, the new minimum wage would come into force on Aug 1, 2025.

Additionally, the Human Resources Ministry would also publish salary guidelines for all sectors, for the reference of employees.

Mohideen said another positive aspect was the decision not to impose sales tax on basic food items, while premium imported goods such as salmon and avocados would be taxed.

He said this was a prudent step to reduce the outflow of the ringgit and encouraged the consumption of local produce which would strengthen the domestic economy.

"However, this policy must be supported by concerted efforts to boost agricultural output and food production through various funds and incentives.

"The RM27 million allocation to incentivise farmers and livestock breeders to increase the production of beef cattle, goats, sheep, and onions should contribute to our food security and autonomy.

"RM27 million has been allocated to the Malaysia Competition Commission (MyCC) to eliminate cartels in the agricultural sector. The cartel control of food production and distribution must be eliminated to ensure affordable price of food for the people."

He said the budget also announced allocations for the implementation of 48 People's Residency Programmes (PRR) and 14 affordable housing projects.

He added that while these housing projects are important, the government must ensure that residents pay their maintenance fees, as many PRR projects suffer from poor upkeep due to unpaid maintenance fees.

The residents must be made to take ownership of the projects and responsible for their cleanliness and social activities, he said.

Most Popular
Related Article
Says Stories