Kuala Lumpur, 3 April 2026: The Institute for Democracy and Economic Affairs (IDEAS) notes the Government’s continued commitment to institutional reform under Phase II of the Kerangka Akauntabiliti MADANI, covering the period from May to August 2026.

IDEAS welcomes the announced initiatives, including the proposed Ombudsman Malaysia Bill, Freedom of Information legislation, amendments to the Human Rights Commission of Malaysia and enhancements to whistleblower protection. These are important and necessary steps towards strengthening accountability, transparency and the rule of law.

However, these efforts are fundamentally weakened by the continued absence of political financing reform. Political financing is not a peripheral issue. It is central to the integrity of democratic governance. Without clear rules governing political donations, campaign spending and disclosure, institutional reforms risk being undermined by persistent opacity in how political power is financed and exercised.

Despite repeated public commitments by the Government, political financing reform remains absent from the current phase of the Kerangka. There is still no clear legislative timeline, no draft bill and no indication of when it will be tabled. This pattern of commitment without delivery raises serious concerns about the pace and depth of the Government’s reform agenda.

“Phase II reflects movement on long-standing institutional reforms, particularly on accountability and rule of law. However, the glaring omission of the Political Financing Bill cannot be ignored. Although the Kerangka provides a timeline until August 2026, with four more months remaining in the year after that, what assurance do we have that the Bill will come to light even then?” said Aira Azhari, IDEAS CEO.

“IDEAS has consistently engaged in libat urus sessions, policy discussions and advocacy efforts on political financing reform, and has received repeated verbal assurances on its introduction. We have participated in the public perception research on Political Financing in Malaysia led by International Islamic University Malaysia (IIUM) and funded by the Legal Affairs Division, Prime Minister’s Department (BHEUU), which resulted in a public call for the Bill to be tabled. We are concerned that there is a disconnect between stated commitments and actual policy delivery,” added Aira.

Equally important is the need to enhance public participation in the reform process. While there have been efforts to involve stakeholders in several of the proposed measures, questions remain as to whether these engagements have been sufficiently broad, inclusive and sustained. Given the significant implications for rights and governance, it is important that public consultation processes, including on draft legislation, are meaningful and allow for substantive input from a diverse range of stakeholders.

Institutional reform cannot be selective. A credible accountability framework requires political will to implement reforms despite how challenging the subject matter is. Political financing reform is a foundational pillar of that framework. Without it, the Government’s broader reform efforts risk lacking credibility and impact.

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