Govt to blacklist problematic contractors - Johari

Second Finance Minister Datuk Johari Abdul Ghani said, however, contractors with good track record in completing the projects, will be given priority for future government tenders.

He stressed that the government can no longer accept and continue to bear the losses whenever the contractors failed to deliver the projects as agreed.

"The standard practice is whenever we faced problems with the contractors we cannot 'terminate' them immediately as we have to wait for the cases to be settled first. By then, four to seven years would have passed before we can continue with the project, so the cost will be higher.

"In the current challenging economic situation that we are experiencing, we have to make sure that all expenses incurred can benefit the people without any wastage," he told reporters after the presentation of scholarship from the Holstein Milk Company Sdn Bhd, at Sekolah Bimbingan Jalinan kasih (SBJK), here today.

He also said the ministries involved in the projects are required to ensure all related technical matters which fall under their jurisdiction such as land acquisition, building designs, dates for project completion and the cost must be finalised before it was given to any contractor.

"If there are technical problems arising, the relevant ministry will inform us (Ministry of Finance) for further action," he said.

Meanwhile, Johari said the Budget 2017 to be tabled by Prime Minister Datuk Seri Najib Tun Razak next week will help Malaysians to face challenging economic situation.