The Sale of MAHB: How Much Did the Prime Minister Know?

The controversial restructuring of Malaysia Airports Holdings Berhad (MAHB) has raised fundamental questions about transparency, governance, and national interest. While official explanations have been given, they have only led to more skepticism. The involvement of Khazanah Nasional Berhad, the Employees Provident Fund (KWSP), and foreign investment funds such as BlackRock and Abu Dhabi Investment Authority (ADIA) suggests that this was not a routine corporate exercise but a significant strategic decision at the highest level of government.

Was the Prime Minister Unaware or Fully Involved?

A central figure in this deal is Prime Minister Datuk Seri Anwar Ibrahim, who chairs Khazanah Nasional, the largest shareholder in the new entity Gateway Development Alliance (GDA). Given his position, it is inconceivable that such a major transaction involving billions of ringgit and a key national asset could have been carried out without his knowledge or approval.

If the Prime Minister was unaware, then this would indicate a serious governance failure within Khazanah, as it suggests that Malaysia’s sovereign wealth fund can execute billion-ringgit deals involving foreign entities without informing its chairman. Such a scenario is unlikely, given that Khazanah operates under government oversight and would not undertake a high-stakes restructuring without political clearance.

If the Prime Minister was fully aware, then the question becomes: Why was the deal conducted in secrecy? Unlike past major privatizations or restructurings, this transaction had no prior engagement with the media, no public consultation, and no transparency in its planning phase.

The KWSP Share Controversy: A Sign of Poor Coordination?

The issue of KWSP selling 140 million MAHB shares at a lower price between 2022 and 2024—only to later repurchase shares at a higher MGO price—further complicates the situation. This suggests one of two possibilities:

1. KWSP was unaware of Khazanah’s restructuring plans – If true, this points to a lack of coordination between two of the country’s most important government-linked investment bodies, leading to financial inefficiency and unnecessary costs for KWSP contributors.

2. KWSP was aware but still proceeded with the sale – This would imply either a deliberate misstep or a calculated move, raising concerns about governance and potential conflicts of interest.

Either way, the fact that Khazanah’s chairman is also the head of government means that accountability lies at the very top. If there was poor coordination, it reflects on the Prime Minister’s management of government-linked entities. If there was deliberate planning behind it, then Malaysians deserve a clear explanation of why and how this restructuring was executed.

National Assets and Foreign Control: Who Truly Benefits?

One of the biggest concerns in this deal is the involvement of BlackRock, a U.S.-based global asset manager. While Malaysia retains majority ownership through Khazanah (40%) and KWSP (30%), BlackRock’s 25% stake—via Global Infrastructure Partners (GIP)—gives it significant influence in the management of Malaysia’s airport network. Given BlackRock’s track record of prioritizing global investment returns over national interests, this raises legitimate fears about how much control Malaysia has truly retained over its airport infrastructure.

A key question that remains unanswered:

• Why was BlackRock chosen as a partner?

• Were there no Malaysian entities capable of playing this role?

• Did the government evaluate alternative options before finalizing the deal?

The Need for an Independent Investigation

With so many unanswered questions, an independent probe is necessary to determine whether this deal was executed in the best interest of Malaysia. The Public Accounts Committee (PAC) should initiate hearings, and if necessary, a Royal Commission of Inquiry (RCI) should be set up to investigate the full extent of government involvement in this transaction.

At the end of the day, Datuk Seri Anwar Ibrahim cannot distance himself from this deal. As the chairman of Khazanah and the leader of the government, he must be held accountable for the decisions made under his administration. The public deserves full transparency on why a strategic national asset like MAHB was restructured in this manner, who truly benefits from the deal, and whether Malaysia’s long-term interests have been protected.

A. Kadir Jasin- Sinar Harian