Govt Aims To Table Anti-Rent-Seeking Bill By 2027 To Eliminate ‘Alibaba’ Licensing Practices

KUALA LUMPUR, Oct 14 – The government aims to draft new legislation or amend existing legal frameworks to criminalize rent-seeking, or “Alibaba” practices, with plans to table the bill in Parliament by 2027.

Economy Minister Akmal Nasrullah Mohd Nasir informed the Dewan Rakyat on Wednesday, October 14, 2026, that comprehensive studies are underway to establish a clear regulatory and legal framework to define rent-seeking activities as criminal offences.

He highlighted that the primary legislative hurdle currently faced by enforcement agencies is that the unauthorized sale, transfer, or leasing of government licenses and contracts is not formally categorized as a criminal offence under existing laws.

Akmal Nasrullah was responding to initial queries from Syahredzan Johan (PH-Bangi) regarding drafting timelines and supplementary questions from Salamiah Mohd Nor (PN-Temerloh) on closing rent-seeking loopholes and curbing corruption among public officials.

Stakeholder Consultations, Economic Impacts, and Scope of Reform

The Ministry of Economy outlined the scope, stakeholder engagement, and economic rationale driving the new legislative initiative:

• Stakeholder Engagement: The ongoing study incorporates feedback from industry players, law enforcement agencies, line ministries, state governments, and various key stakeholders to ensure the framework is practical and enforceable.
• Policy Scope: The proposed bill will encompass comprehensive policies, strategies, and regulatory mechanisms aimed at eliminating rent-seeking across all economic sectors.
• Market Distortion: The minister noted that even voluntary, mutually agreed-upon “Alibaba” arrangements artificially distort market efficiency and weaken the genuine competitiveness and capacity of local businesses.
• Leakage of Public Resources: Ministry studies demonstrate that rent-seeking erodes national socio-economic growth by facilitating the unauthorized leakage of government licenses, contracts, grants, and commercial facilities.

The government reiterated its commitment to passing the legislation to promote fair market competition, raise national productivity, and protect genuine local entrepreneurs.

–NMT