KUALA LUMPUR: A member of parliament today called on the government to set up a committee to coordinate foreign currency exchange (forex) risks to the operations of government-linked investment companies (GLICs).
Lee Chean Chung (PH-Petaling Jaya) said forex is one of the big factors in determining the profit and loss of a company or financial institution based on the performances recorded last year.
Citing an example, he said the profits and losses earned by giant utility companies such as Tenaga Nasional Bhd last year were greatly influenced by foreign currency translation factors.
“The question is, will the Finance Ministry consider creating a committee to coordinate forex risk across the GLICs?
“In the context of GLIC management, the investment mandate needs to be reviewed so that it is in line with the country’s strategic goals without sacrificing decision-making freedom,“ he said during the debate on the motion of thanks to the royal address at the Dewan Rakyat today.
Meanwhile, Datuk Iskandar Dzulkarnain Abdul Khalid (Kuala Kangsar) also suggested that the government make amendments to the Bank Negara Malaysia Act 2009 to strengthen regulatory actions against the health insurance sector.
He said the amendment to this act will help to regulate the premiums set by insurance and takaful companies to ensure that the people are not burdened with excessive premium payments.
“I request the Dewan Rakyat to consider that the Bank Negara Malaysia Act 2009 which regulates personal health insurance be amended to only use community rating and not risk rating,“ he said.
Sim Tze Tzin (PH-Bayan Baru) suggested that a health commission be established which would be a platform to regulate the health sector such as issues related to health insurance and charges imposed by private hospitals.
“There is no synergy so far to regulate and ensure the market is stable, so it needs to be implemented (a commission) so that the Health Ministry, Bank Negara Malaysia and the Finance Ministry can regulate insurance companies and private hospitals,“ he said.
