Kuala Lumpur, 11 November 2026: The Institute for Democracy and Economic Affairs (IDEAS) calls on the MADANI Government to end the practice of tying Constituency Development Fund (CDF) allocations for political support. Public funds should serve all constituents, regardless of their elected representatives’ political affiliations.

The Confidence and Supply Agreement (CSA) signed on 29 October 2026 provides RM3 million in constituency allocations to its signatories in exchange for supporting Budget 2027 and several institutional reforms. While the CSA may support parliamentary stability, CDF allocations should not be tied to political commitments.

The current practice gives government MPs access to CDF by default, while opposition MPs must negotiate for similar allocations. This creates unequal treatment among elected representatives. Constituents should not be disadvantaged because their MPs are in the opposition.

IDEAS also questions the timing of the agreement, with several state elections and the next general election approaching. CDF must not become a tool to secure political support or strengthen the government’s political position.

IDEAS reiterates its call, as outlined in the Kaukus Demokrasi Pelbagai Parti (KDPP)’s Annual Report and Position Paper and the CDF Bill championed by IDEAS and BERSIH, to institutionalise CDF allocations through legislation. The framework should be guided by the following three key principles:

• Equal access: All elected representatives should receive CDF allocations, regardless of political affiliation.
• Formula-based allocation: Allocations should reflect population size and constituency development needs.
• Transparency in allocation and reporting: CDF guidelines, allocation details and expenditure reports should be publicly available and open to parliamentary scrutiny.

In the longer term, CDF disbursement should be managed through a transparent institutional framework. MPs and ADUNs should identify local needs, while government agencies or elected local governments oversee the distribution of funds for community development and assistance to vulnerable groups.

“Ultimately, CDF reform should be a low-hanging fruit for this administration, given that it is part of a promise made in the PH Manifesto.  As the next general election draws closer, Prime Minister Anwar Ibrahim has the opportunity to enact a reform that he himself has championed for years, demonstrating his administration’s commitment to institutional reform and reinforcing his reformist credentials,”  said Aira Azhari, IDEAS CEO.

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For enquiries, please contact:
Ryan Panicker
Manager, Advocacy and Events
T: 03 – 2070 8881/8882 | E: ryannesh@ideas.org.my