No legislative nod needed for funding under emergency ordinance


The government has gazetted a new amendment to the Emergency Ordinance that allows federal and state governments to pass supplementary budgets or use the consolidated fund without legislative approval. – The Malaysian Insight file pic, March 31, 2021.

THE government has gazetted a new amendment to the Emergency Ordinance (EO) that allows federal and state governments to pass supplementary budgets or use the consolidated fund without legislative approval. 

The amendment, which was approved by the Yang di-Pertuan Agong, is effective today.

Inserted into the ordinance was Section 10a that states that all legislative approvals for government expenditure, whether Dewan Rakyat or state assembly, will be suspended for the duration of the emergency.

Instead, the approvals for any “temporary financial allocations” can be given by the Treasury Department, menteri besar or chief minister. 

Also inserted was Section 10b, which stated that the laws pertaining to the use of funds under the Government Investment Act 1983 and Treasury Bills (Local) Act 1946 will be suspended for the duration of the emergency.

The emergency, which began on January 11, is scheduled to expire on August 1. – March 31, 2021.


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