Allocation for PM's Department in Budget 2016 appropriate

The budget allocation for the Prime Minister's Department (JPM) in Budget 2016 is appropriate with the bigger number of departments, agencies and ministers compared with the other ministries, said Treasury secretary-general, Tan Sri Mohd Irwan Serigar Abdullah.

"There are more or less 70 departments and agencies under the JPM. The number of ministers it has to handle their respective portfolios must also be taken into account.

"Other ministries may have 10 departments only. Hence, rationally, the JPM needs more allocation," he said to Bernama after Bernama TV's Bual Bicara programme recently.

Among the departments and agencies under the JPM are the Land Public Transport Commission, National Security Council, Economic Planning Unit, Department of Statistics Malaysia, Malaysian Anti-Corruption Commission, Public Service Commission, Malaysia Innovation Agency, and Bumiputera Agenda Steering Unit.

A total of RM20.3 billion or 7.6 percent out of the total operating expenditure under Budget 2016 is allocated for JPM, the highest-ever allocation recorded.

For this year, JPM received an allocation of RM19 billion or 6.96 percent of the operating expenditure.

In previous years, 6.23 percent had been allocated under Budget 2014, 5.24 percent (2013), 5.38 percent (2012), 6.74 percent (2011) and 6.37 percent (2010).

Regarding the lower allocation for the Ministry of Finance (MoF) and Higher Education Ministry (HEM), Irwan Serigar said the government did not ignore the interests of the ministries and the allocations were accurate.

He said some of the institutions of higher learning such as University of Malaya, Universiti Kebangsaan Malaysia and Universiti Sains Malaysia had investments and projects that were capable of generating income.

"This is the time for them to move towards self-financing, slowly.

"Now we specify that more or less 30 per cent (use own financing). Going forward, at a later time, about 50 percent of their requirement will come from internal funds," he said.

Allocation for HEM in Budget 2016 fell by RM2.4 billion to RM13.38 billion compared with Budget 2015.

For MoF, a reduction of 17.8 percent to RM32.25 billion was because the government no longer have to bear fuel subsidies totalling RM20 billion.