KUALA LUMPUR: The Dewan Rakyat today unanimously passed the Malaysia Deposit Insurance Corporation (Amendment) Bill 2021, which aims to improve the governance of the body.
The bill, which was approved after the third reading, was to amend the Malaysia Deposit Insurance Corporation 2011 (Act 720) by inserting new provisions.
Earlier, Deputy Finance Minister II Yamani Hafez Musa tabled the bill for the second reading after the first reading on Sept 23, 2021.
He said the objective of PIDM establishment was to govern the deposit insurance system, as well as takaful and insurance benefits protection system under Act 720.
"It is also to provide insurance against the loss, part or all, of the deposit for which the depositor member is liable and to provide protection against the loss, part or all, of the takaful or insurance benefits for which the insured member is liable.
"The objective is also to provide incentives for proper risk management in the financial system and to promote or contribute to the stability of the financial system," he said.
Yamani Hafez said the financial industry has become more complex and dynamic with the emergence of new technologies and innovations, globalisation, demographic changes and constantly changing market environment.
"This has created new opportunities and challenges to the financial sector in Malaysia," he said.
Therefore, he said PIDM was constantly conducting research and reviews the PIDM Act to make it more effective, agile and able to meet the needs of the rapidly changing financial sector.
"The PIDM Amendment 2021 bill is necessary and important to enable PIDM to play its role and fulfil its mandate more efficiently and effectively.
"Hopefully, the amendment can protect the interest and preserve public confidence in the banking and insurance system, thus, maintaining the stability of the financial system while stimulating Malaysia's economic growth and prosperity," he said.
In the winding-up session, he said the amendment bill would, among others, improve the efficiency of PIDM corporate governance and strengthen PIDM's operational readiness and efficiency in performing its functions and obligations to promote the stability of the Malaysian financial system.
Besides, he said it would enhance the effectiveness of premiums and levy assessment of PIDM member institutions and enhance the effectiveness of administration, clarification and coordination of the exercise of its authority, as well as to correct typographical errors.
He said Clauses 4 to 8 were amendments to enhance the effectiveness and accountability of PIDM's board governance.
Meanwhile, he said to strengthen PIDM's readiness and efficiency in discharging its statutory responsibilities, the new Section 97A (under Clause 30) provided that PIDM would draft, review and amend resolution plans for its member institutions.
He said for the assessment of premiums and levies, Clause 12 to 17, in respect of deposit-taking members, and Clause 22 to 27, in respect of members of insurers, of the bill aimed to refine the assessment of premiums and levies for PIDM member institutions.
"This amendment provides for the assessment of premiums and levies for member institutions involved in amalgamation," he said.
Yamani Hafez said if a member institution were to merge with another, the merged entity would be assessed based on the risk profile of the merged member institution.
"This will ensure that the assessment of premiums and levies is fairer, more transparent and on par with the assessment of other member institutions," he said.
He said to correct typographical errors, the proposed amendments included harmonising the interpretation of "conventional deposits", "Islamic deposits" and "investment accounts" in the PIDM Act with the interpretations on Bank Negara Malaysia's legislations, namely the Financial Services Act 2013 (Act 758) and the Islamic Financial Services Act 2013 (Act 759).
Besides, he said the bill also clarified that investment linked to derivative products were not included in the definition of "deposit" and therefore not under the scope of PIDM's protection.
He added that the bill also updated and amended all references to the old Companies Act 1965 (Act 125) to the new Company Act 2016 (Act 777).
Ten lawmakers debated on the bill.
-- BERNAMA
Bernama
Tue Oct 26 2021
Deputy Finance Minister II Yamani Hafez Musa tabled the bill for the second reading in the Dewan Rakyat today after the first reading on Sept 23, 2021. - BERNAMA file photo
Golongan belia pemacu penting bentuk masa depan industri pembuatan Malaysia - FMM
Pemimpin perniagaan dan usahawan daripada golongan belia merupakan pemacu penting yang akan membentuk masa depan industri pembuatan Malaysia, kata Presiden Persekutuan Pekilang-Pekilang Malaysia.
KPT alu-alukan syor PAC guna garis panduan pelaburan universiti awam untuk anak syarikat
KPT mengalu-alukan cadangan PAC berhubung pelaksanaan dan pemakaian Garis Panduan Pelaburan dan Pembiayaan oleh Universiti Awam 2024, kepada anak-anak syarikat di bawah seliaan kementerian itu.
SUKMA 2024: Sepak takraw wanita mungkin digugurkan
Sepak takraw wanita berpasukan berkemungkinan akan digugurkan daripada senarai acara temasya Sukan Malaysia (SUKMA) 2024 berikutan jumlah penyertaan kurang daripada jumlah minimum yang ditetapkan.
10 Berita Pilihan - (16 Julai 2024)
Antara pelbagai berita dalam dan luar negara yang disiarkan di Astro AWANI, berikut adalah yang paling menjadi tumpuan sepanjang hari ini.
Enam rakyat Vietnam ditemukan maut di sebuah hotel di Bangkok
Enam orang ditemukan maut di sebuah hotel di Bangkok, Thailand pada Selasa laporan media tempatan yang memetik polis Bangkok.
AWANI 7:45 [16/07/2024] - Suspek dibawa ke lokasi | Selamat tinggal rakyat Malaysia | Harimau Malaya hilang taring?
- Polis sahkan suspek bunuh Kartini anggota polis.
- Pan-Gon enggan dedah punca letak jawatan.
- Faisal Halim sedih mentor Pan-Gon undur diri.
- Pakai reben putih di Parlimen, tak salah.
- Pan-Gon enggan dedah punca letak jawatan.
- Faisal Halim sedih mentor Pan-Gon undur diri.
- Pakai reben putih di Parlimen, tak salah.
Isteri calon gandingan Trump letak jawatan di firma guaman
Usha Vance, isteri kepada Senator J.D. Vance yang dipilih sebagai calon gandingan bekas presiden Amerika Syarikat (AS) Donald Trump awal minggu ini, telah meletakkan jawatannya di sebuah firma guaman,
Najib fail permohonan di mahkamah rayuan cabar Titah Adendum
Berdasarkan sistem e-filing mahkamah, rayuan itu telah ditetapkan untuk pengurusan kes pada 7 Oktober ini.
Pangsapuri mewah bernilai RM1 juta menanti pemenang emas Olimpik
Hannah Yeoh berkata Jawatankuasa RTG telah menerima tawaran daripada pemaju hartanah, Top Residency, yang berminat untuk menghadiahkan pemenang pingat emas pertama.
E-sukan harus dijadikan kepentingan sehingga ke peringkat lebih tinggi
Kerajaan juga harus wujudkan sebuah dasar yang jelas supaya kepentingan e-sukan ini mampu diperkembangkan ke masa hadapan.
Kerajaan pandang serius penularan ideologi liberalism, pluralism
Kerajaan sentiasa memandang serius terhadap penularan ideologi dan aliran pemikiran yang bercanggah dengan ajaran Islam seperti ideologi liberalism dan pluralism agama.
Dewan Rakyat lulus RUU Agensi Kawalan dan Perlindungan Sempadan Malaysia
Rang Undang-Undang Agensi Kawalan dan Perlindungan Sempadan Malaysia 2024 yang bertujuan menubuhkan MCBA diluluskan persidangan Dewan Rakyat, hari ini.
PAC akan mulakan prosiding isu dibangkit LKAN Siri 2/2024
Jawatankuasa Kira-Kira Wang Negara (PAC) akan memulakan prosiding bagi empat isu yang dibangkitkan dalam Laporan Ketua Audit Negara (LKAN) Siri 2/2024.
ADUN Rembia sertai Pas, kenapa tak umum tahun lepas? - MP Kampar
Tindakan tersebut seolah-olah satu penghinaan paling besar kepada Parlimen yang telah meluluskan pindaan Perlembagaan Persekutuan berkait Akta Antilompat Parti.
ADUN Rembia sertai Pas, tak 'lompat parti' - Takiyuddin
Menurut Takiyuddin, keahlian Muhamad Jailani yang juga wakil rakyat UMNO diterima pada 10 Jun tahun lalu, namun diumumkan secara rasmi hari ini.
Ahli Parlimen PN pakai reben putih di lengan tak langgar peraturan - Timbalan Speaker
Jelas Timbalan Yang Dipertua Dewan Rakyat itu, pendirian tersebut adalah keputusannya dan ia tidak dibuat oleh Yang Dipertua Dewan Rakyat, Tan Sri Johari Abdul.
LHDN berjaya kutip RM512.6 juta melalui PKPS 2.0 - Amir Hamzah
LHDN telah mengutip RM512.6 juta daripada keseluruhan taksiran cukai berjumlah RM1.29 billion sepanjang tempoh PKPS 2.0.
Pembinaan lebuh raya: KKR sedia tambah baik SOP elak kejadian buruk
KKR akan sentiasa berusaha menyesuaikan SOP agar ia benar-benar memberi impak untuk menghindari kesan buruk.
Cadangan guru Bahasa Inggeris dari Singapura antara tumpuan Dewan Rakyat hari ini
Kalam minta Menteri Pendidikan nyatakan perancangan khusus berhubung cadangan itu dan langkah memperkasa guru Bahasa Inggeris tempatan.
Tawaran pengambilalihan MAHB dijangka muktamad suku ketiga tahun ini - Kementerian Kewangan
Memandangkan tawaran itu merupakan satu urusan transaksi komersial, maka ia tidak mendatangkan sebarang implikasi kewangan kepada kerajaan.