Malaysia is approaching its next General Election (GE16) in an increasingly competitive and fluid political environment. In recent years, political contestation has intensified, alongside multiple transitions of government and shifting political dynamics.

Two key structural issues are particularly relevant in this context.

First, the cost of running political parties in Malaysia is increasingly prohibitive. Public discourse often focuses on campaign expenditure, but the broader and ongoing costs of sustaining political parties remain insufficiently understood. Political parties must maintain offices, staff, researchers and constituency engagement beyond election periods. These financial pressures create barriers to entry, particularly for newer and smaller parties, while contributing to the marginalisation of underserved communities and reinforcing reliance on informal or opaque funding channels.

Second, Malaysia continues to operate without a comprehensive and publicly accessible framework governing caretaker governments despite its political system shifting from decades of political stability under a dominant-party system to a more competitive and fluid multiparty landscape. While the principle of continuity in administration is recognised, there remains no clear guidance on the limits of executive action during election periods and transitions. This creates uncertainty in practice, particularly in relation to policy decisions, the use of government resources and fairness in electoral competition.

Taken together, these issues raise broader questions about electoral fairness, democratic participation and the integrity of governance in the lead-up to GE16.

This event will launch two new IDEAS policy papers:

• How Costly are Political Parties? Exploring Political Expenses and Implications for Democracy
• Guidance for Malaysia’s Caretaker Government: Lessons from Four Commonwealth Jurisdictions<

Bringing together policymakers, political actors, regulators and experts, the event aims to provide a platform for a rational and evidence-based discussion on institutional reforms related to political financing and caretaker governance in Malaysia.