Press Releases
4 November 2014
GLCs gearing up for “graduation” and charting the way forward
The Programme was officially launched in July 2005 to transform GLCs into high performing entities, with the target of having several emerge as regional champions by 2015. At the meeting, YAB Prime Minister stressed that having champions or iconic companies will help grow the country’s gross national income and propel Malaysia towards its 2020 objectives.
GLCs Delivering Significant Performance
Between the announcement of the Programme on 14 May 2004 untıl 31 October 2014, G201 market capitalisation has tripled to RM435 billion from RM140 billion, while TSR grew at 12.9% p.a. over the same period. Meanwhile, G20 net profit grew at a CAGR of 11.1% from FY2004 to FY2013. As a result of this strong financial performance, G20 have been able to return RM93bn in dividends and RM57bn in taxes from FY2004 to FY2013, which have directly and indirectly benefitted the Malaysian public.
Bumiputera Empowerment Agenda and GLC Disaster Response and Relief Network
GLICs and G20 have been executing on their Bumiputera Empowerment Agenda (“BEA”) key performance indicators (“KPIs”) and progress was reported to YAB Prime Minister at the PCG27 meeting. This remains a very important initiative to professionalise and operationalise the country’s larger Bumiputera Agenda in a market-friendly, merit-based and transparent manner in order to promote inclusivity and equitability for the long term stability and growth of the country. Overall, the GLICs and G20 are on track to achieve their 2014 BEA KPIs.
Meanwhile, the GLC Disaster Response and Relief Network (“GDRRN”) was launched at PCG27. GDRRN will enable G20 to complement the Malaysian Government in providing support to Malaysian communities affected by natural disasters by providing services and disaster relief supplies, in a timely and coordinated manner.
Moving forward
To signify the completion of the Programme, a ‘GLC Open Day’ will be organısed in 2015 to engage the public by showcasing achievements, sharing lessons learnt and reporting the final outcomes of the 10-year Programme.
It was also discussed at the meeting that post ‘graduation’ from the Programme, GLICs and GLCs will need to focus on the runway to 2020, and that continued high performance would be expected of them.
The high powered meeting was chaired by YAB Prime Minister and attended by the Finance Minister II, Dato’ Seri Haji Ahmad Husni Mohamad Hanadzlah; Minister in the Prime Minister’s Department, Dato’ Sri Abdul Wahid Omar; Chief Secretary to the Government, Tan Sri Dr. Ali bin Hamsa; the Chief Secretary to the Treasury, Tan Sri Dr. Mohd Irwan Serigar Bin Abdullah; senior Ministry of Finance officials, leaders from the GLICs and the G20 Chairmen and CEOs.
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1 G20 is a selection of large GLCs controlled by GLICs under the GLCT Programme and is used as a proxy for performance of the GLCs. This list originally comprised 20 GLCs. It currently consists of 17 GLCs due to various mergers, demergers and other corporate exercises over the years.
For further information, please contact Mohd Raslan Md Sharif at +603 2034 0000, or e-mail at [email protected].
