RKB Initiative Saves RM1.6 Bln, Cuts Bureaucracy Nationwide

Kuala lumpur: The Bureaucratic Red Tape Reform (RKB) initiative, a key component under the Public Service Reform Agenda, has generated savings of RM1.6 billion to date through more efficient processes and shorter turnaround times at ministries, state governments, and local authorities.

According to BERNAMA News Agency, Ahmad Jefry Aziz Adan, the executive director of the Prime Minister's Department Performance Acceleration Coordination Unit (PACU), stated that these savings were achieved through modernization and improvements to work procedures. This has resulted in shorter processing times for applications and projects and has reduced red tape in licensing and government counter services.

RKB, led by the Malaysia Productivity Corporation (MPC), has registered 1,007 projects, with 230 successfully completed. Ahmad Jefry emphasized the initiative's direct impact on the public, noting that reducing the processing period for an application from 30 days to five days reflects more efficient service delivery.

Speaking to Bernama during an interview for the 'Rancakkan MADANI Bersama Malaysiaku' program and the upcoming National Public Service Reform Convention 2025, Ahmad Jefry highlighted the importance of project registration under RKB. He urged ministries and state governments to participate for improved public service delivery, with guidance from MPC to enhance work processes and integrate technology like artificial intelligence (AI).

The reforms have bolstered governance efficiency and public service delivery, as evidenced by Malaysia's climb to 23rd place in the World Competitiveness Ranking 2025 by the International Institute for Management Development (IMD), up from 34th. The bureaucracy indicator under the Institutional Framework sub-factor rose 22 places to 14th position, showcasing the early impact of RKB projects.

Ahmad Jefry stressed the need for ongoing monitoring and intensification of these efforts to further improve Malaysia's sub-index ranking and overall WCR position. With a target of reaching 12th place by 2030, he noted that consistent annual improvements would be a significant achievement.

He remarked that Malaysia is on the right track but must remain vigilant as other countries adopt similar reform measures. The effectiveness of these reforms is evaluated not only by project completion but also through tangible outcomes like the RM1.6 billion in savings recorded so far.

Meanwhile, Mohd Fauzi Mohd Said, PACU Strategic Planning Section director, reported that of the 1,007 RKB projects, 684 are ministerial, and 323 are at the state government level. These projects, monitored by MPC, are reported monthly to PACU and then to the Chief Secretary to the Government's office.

Citing the Kulai Fast Lane system, Mohd Fauzi explained its use of AI technology for approving development project applications, benefiting the data center development corridor. Approval processes that once took months can now be completed in less than a month, attracting more investors.

Further examples of RKB's impact include the Farmers' Organisation Authority's improved flood relief assistance processing time from four months to two, and the Immigration Department's reduced counter service times from three days to as little as one day, with some passport renewals approved in under an hour.

Mohd Fauzi concluded that the strong progress achieved under RKB has instilled government confidence in maintaining the momentum needed to place Malaysia among the world's 12 most competitive countries by 2030, aligning with the 13th Malaysia Plan targets.