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THE Government under the Madani administration has reaffirmed its commitment to introducing a Political Funding Bill, a key initiative outlined in the 2024–2028 National Anti-Corruption Strategy, aimed at strengthening transparency and accountability in party financing.
Deputy Minister in the Prime Minister’s Department for Law and Institutional Reform, M. Kulasegaran, told the Dewan Rakyat on Monday that preliminary studies on the bill began in 2019 under the National Governance, Integrity and Anti-Corruption Centre (GIACC), with two consultation sessions held in 2022.
“The Legal Affairs Division of the Prime Minister’s Department took over the drafting of the bill in May 2023.
“Subsequently, on 8 September of the same year, the government decided that the basic scope of the bill should be referred to the Special Select Committee (JKPK) on Human Rights, Elections and Institutional Reform in the House of Representatives,” he said during a question-and-answer session in the Dewan Rakyat today.
Kulasegaran added that the JKPK has since convened a series of meetings to examine the parameters and policy proposals for the Political Funding Bill, including a session on 12 February 2025 chaired by the Minister in the Prime Minister’s Department with the Malaysian Cross-Party Group (KRPPM).
The deputy minister explained that a total of 20 stakeholder engagement sessions have been held to gather input from grassroots participants, including 12 at the state level involving 1,544 participants.
Attendees have included federal and state government officials, political party representatives, village development and security committees, chambers of commerce, business associations, non-governmental organisations, civil society groups, academics and youth representatives.
“Among the key feedback received were issues relating to public funding for political parties, the requirement to disclose party financial reports to the public, limits on permitted donations and categories of donors who may or may not contribute,” he said.
Kulasegaran also noted that a public perception study is underway, led by researchers from the International Islamic University Malaysia alongside NGO and civil society representatives. The study began on 1 September 2025 and is expected to conclude on 28 February 2026.
“The findings from the engagement sessions and the perception study will be combined to shape the policy parameters of the Political Funding Bill. The draft policy proposals are still under review and will first be referred to the JKPK before being considered further,” he said.
Addressing concerns that corporate donors might gain preferential treatment in government contracts, Kulasegaran stressed that the bill is designed to prevent allegations of influence-buying and ensure fair regulation.
“The government is committed to ensuring that political funding is regulated fairly and not used to target any party, including the opposition.
“The initiative is currently under review by the JKPK, and the government has taken note of all suggestions raised. We are fully committed to expediting this effort in the national interest,” he said. - January 26, 2026