KUALA LUMPUR: The Government Procurement Bill 2025 places full accountability on any party conducting procurement using public funds, says Datuk Seri Anwar Ibrahim.

The Prime Minister said the Bill will apply not just to the federal government but also to state governments and local authorities based on the source of the allocations provided.

"It also applies to federal and state statutory bodies, government-linked companies and any entities receiving grants or loans from the Government," he said when tabling the Bill for its second reading in the Dewan Rakyat on Wednesday (Aug 27).

Anwar, who is also the Finance Minister, said the Bill aims to eradicate corruption and prevent the leakage of public funds.

"It closes loopholes and opportunities that have previously been exploited by irresponsible parties.

"The Bill also raises the level of integrity in procurement by making it mandatory for all parties involved to declare any interests.

"This also aligns with the goals of the National Anti-Corruption Strategy which seeks to strengthen procurement governance to improve Malaysia’s Corruption Perceptions Index," said Anwar.

The Bill, he added, aims to curb unfair and exploitative procurement practices.

"It is based on the principle of strengthening transparency and accountability in procurement, to maximise the benefits of public spending.

"Open tender is emphasised to foster fair and healthy competition and uphold integrity through mandatory disclosure.

"This ensures that every government procurement delivers the best value to the people while supporting national economic and social development policies.

To ensure fairness in procurement decisions, Anwar said the Bill establishes mechanisms for appeals and objections through review panels in each implementing agency and an independent Procurement Appeal Tribunal under the Finance Ministry.

The Prime Minister also said that the Bill aligns with international best practices.

"The legislation is in line with global standards such as the United Nations Commission on International Trade Law Model Law on Public Procurement, World Trade Organisation’s Government Procurement Agreement, UNDP-CIPS and World Bank procurement rules.

"The Government also examined procurement laws from nine countries, including Australia, the European Union, China, Singapore and Vietnam," said Anwar.