Anwar Ibrahim urges an end to support letters, political ties and cronyism in approving entrepreneur financing, calling the practice harmful to agencies and businesses.
PUTRAJAYA: Prime Minister Datuk Seri Anwar Ibrahim stressed that the practice of using letters of support, political connections and cronyism in approving financing for entrepreneurs must be stopped.
Anwar, who is also the Finance Minister, said the practice only harms government agencies and causes many businesses to fail.
“If you only use letters of support, that is a move to cover up agencies. We have inherited this for decades.
“Loans are given because of closeness to certain people or yellow, green, blue letters. This is what is destroying us,” he said when opening the SPaRK 2026 organised by Perbadanan Ushawan Nasional Bhd (PUNB) here today.
The Prime Minister said the government could not prevent business failures that occurred due to market factors, but would not tolerate the misuse of public funds.
He said there were cases of aid recipients who only used the funds to improve their lifestyle, including moving to a more luxurious office and buying a vehicle, before the business eventually failed.
“It does not matter if some businesses fail due to market factors or economic conditions. “But what is important is their transparency and seriousness in running their business,” he said, stressing that government assistance should only be given to entrepreneurs who truly have the commitment and capability.
