Subsidiaries of ministry agencies may be merged to ensure profitability, says Zahid

KUALA LUMPUR: Several subsidiaries under the Rural and Regional Development Ministry’s agencies will likely be closed down and merged with other agencies, says Datuk Seri Dr Ahmad Zahid Hamidi.

The Deputy Prime Minister, who also holds the Rural and Regional Development portfolio, said this would only apply to subsidiaries that are not making substantial profits.

“We are taking some drastic measures by proposing to the Finance Ministry for subsidiaries under MARA and other agencies under (the Rural and Regional Development Ministry) that are not making profits to be closed down and later merged with others,” he said at a press conference during the Jualan Desa Madani programme at Menara MARA here Monday (Aug 28).

Zahid said the ministry is determined to see all of its subsidiaries making a profit as this would help the ministry fund activities and programmes that would be helpful to the public.

“My aim for this agency is not to become a 'cost centre', but instead to become a profit center and this is what we are doing so that the financial burden can be reduced by the Finance Ministry,” he added.

Further, Zahid said the ministry is also proposing to establish a “Jelita TVET”, an education institution aimed at assisting women entrepreneurs regardless of their racial background.

“At the same time, we are also proposing for agencies under the Rural and Regional Development Ministry to contribute towards ensuring food security in the country so that we can reduce food imports.”

Asked about the Jualan Desa Madani programme, Zahid announced up to 50% discount for all items sold here until Aug 30.

“Starting now until Aug 30, we are offering a discount of 30% to 50% for all items sold at Jualan Madani,” he added.