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PEMUDAH

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PEMUDAH
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The Special Task Force to Facilitate Business (Malay: Pasukan Petugas Khas Pemudahcara Perniagaan; PEMUDAH) is a Malaysian government task force under the Prime Minister’s Department. Established on 7 February 2007, PEMUDAH aims to enhance the ease of doing business through public-private sector collaboration, improve business regulations, and proactively pursue initiatives to foster a competitive and business-friendly environment in Malaysia.[1][2]

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History

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PEMUDAH was announced by Prime Minister Abdullah Ahmad Badawi during his annual speech to the Civil Service on 11 January 2007 and officially launched on 7 February 2007.[1][2] The task force was inspired by the methodology of the World Bank Group’s Doing Business Report, which ranks economies based on the ease of doing business.[3] The Chief Secretary to the Government was appointed as Chairman, with a private sector business leader as Co-Chair.[1]

PEMUDAH’s efforts have contributed to Malaysia’s consistent ranking in the highest percentile of economies in the Doing Business Report, including a 20th ranking among 181 economies in 2009.[4] In response to the COVID-19 pandemic in Malaysia and the Movement Control Orders (MCOs) imposed from March 2020, PEMUDAH established the Private Sector Meeting in April 2020 to address business challenges related to workforce, supply chains, logistics, marketing, cash flows, and workers’ vaccinations. Recommendations were escalated to the Economic Action Council (EAC), chaired by the Prime Minister, for endorsement and implementation.[citation needed]

In July 2020, PEMUDAH partnered with the MyMudah initiative and the Unified Public Consultation (UPC) Portal to resolve regulatory constraints hindering economic recovery.[5][6][2] In 2021, PEMUDAH Pahang was established, replicating the public-private collaboration model at the state level. Following the World Bank’s discontinuation of the Doing Business Report in 2021, PEMUDAH underwent a major operational restructuring in 2021, implemented in 2022, to align its focus with strategic national interest areas.[7][2]

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Governance

PEMUDAH is co-chaired by Shamsul Azri Abu Bakar (Chief Secretary to the Government), Rafizi Ramli (Minister of Economy), and Ameer Ali Mydin (Advisor, Federation of Malaysian Business Associations).[2]

Structure and operations

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PEMUDAH’s initial scope was aligned with the ten business regulation indicators of the World Bank Group’s Doing Business Report.[1] It operated through Focus Groups, each co-chaired by a senior government official and a corporate leader, with members including senior civil servants, professional practitioners, and business leaders.[8] These groups assessed Malaysia’s performance against global benchmarks and made recommendations to improve business regulations.[8]

The PEMUDAH Working Group on Efficiency Issues (WGEI) met monthly to review policy and regulatory issues, assigning them to Focus Groups for in-depth assessment.[2] Recommendations were escalated to monthly PEMUDAH meetings for endorsement and, where necessary, to higher authorities for approval.[2] In 2017, the WGEI was discontinued, and its functions were assumed by Technical Working Groups, which continued to align with the Doing Business Report indicators.

Following the discontinuation of the Doing Business Report in 2021, PEMUDAH underwent a major operational restructuring in 2021, implemented in 2022, to include key strategic national interest areas and economic sectors.[2] PEMUDAH champions Good Regulatory Practices (GRPs) and conducts outreach through online topical webinars to engage stakeholders on regulatory issues.[2] Its public-private collaboration model has been replicated, notably with the establishment of PEMUDAH Pahang in 2021.

Impact and recognition

PEMUDAH’s efforts have enhanced Malaysia’s business environment, contributing to its high ranking in the World Bank Group’s Doing Business Report.[4] Its proactive and responsive approach to regulatory reforms has strengthened public-private sector collaboration, improving efficiency, productivity, and competitiveness.[1][9] The task force’s commitment to minimal regulation and zero tolerance for corruption has bolstered its stature.[2]

The World Bank Group’s publication Aiming High noted that Malaysia requires reforms to remove distortions, encourage innovation, strengthen market competition, improve the investment climate, and facilitate regional integration, aligning with PEMUDAH’s objectives.[10]

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References

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