70 per cent of amendments to Mara act focus on governance reform - Asyraf Wajdi
He said this was because the principal Act centralises excessive power in the hands of the chairman and Mara Council, without a clear separation between the board and management.
KUALA LUMPUR - Around 70 per cent of proposed amendments to the Majlis Amanah Rakyat (Mara) Act 1966 will focus on strengthening governance within the 60-year-old institution, according to Mara chairman Datuk Seri Dr Asyraf Wajdi Dusuki.
He said this was because the principal Act centralises excessive power in the hands of the chairman and Mara Council, without a clear separation between the board and management.
As such, he said the sweeping amendments under the proposed Mara Bill 2026 were crucial to prevent misconduct, manipulation for personal interests, negligence and future governance failures involving financial management.
"Mara today manages assets worth RM23 billion, covering 345 educational institutions as well as entrepreneurship development and investment sectors.
"The Bill is therefore vital to establish proper separation of powers, regulate administrative and management functions, and strengthen checks and balances,” he said during an engagement session on the Mara Bill 2026 today.
Also present was Mara director-general Datuk Zulfikri Osman.
Asyraf said the proposed amendments would make it compulsory to establish governance bodies, including the Mara Audit Committee, Investment Committee, Finance and Governance Committee, and Risk Committee.
He added that a syariah compliance division was also being proposed to ensure all financing transactions and financial management complied with Islamic principles, given Mara’s close association with Malay and Bumiputera interests.
"The composition and role of each committee must be clearly defined in the Act to prevent any abuse or overlap of responsibilities.
"This is important because leaders may come and go, Mara chairmen may come and go, council members may come and go, but Mara as an institution must remain strong with structured and orderly governance,” he added.
Since its introduction 60 years ago, the Mara Act 1966 has only undergone minor amendments in 1972, 1973, 1975 and most recently in 2002.
Deputy Prime Minister Ahmad Zahid Hamidi was reported on May 3 as saying the proposed amendments to the principal Act, which he described as a legal "fortress” to safeguard the Bumiputera empowerment agenda, were expected to be tabled before the Cabinet within three weeks. - BERNAMA
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