Former finance minister Daim passes away

Friday 15 Nov 2024

KUALA LUMPUR (Nov 13): Former finance minister Tun Daim Zainuddin, credited for steering Malaysia through two recessions and influencing the country's politics, has passed away at the age of 86.

One of his lawyers, Datuk Dr Gurdial Singh Nijar, confirmed the matter when contacted by The Edge.

“You are right…he is no more,” one source close to the late Daim said when contacted.

Another source added, “Yes, the small giant has passed on.”

It was understood that Daim's health had deteriorated significantly, and he had lost his eyesight as a result of his ailing condition.

Daim was born in Kedah on April 29, 1938, and served as Malaysia's minister of finance from 1984 to 1991, during which he was credited for steering the country through economic recession to high growth.

He resigned in 1991, but returned to public service eight years later.

After his reappointment as the finance minister in 1999, he initiated the massive consolidation of domestic commercial banks and stockbroking firms.

At that time, he proposed for 54 local banks and finance companies to be consolidated into only six anchor banks. However, after heavy lobbying, the number of anchor banks later increased from six to 10.

Despite a number of controversies surrounding his tenure, Daim's strategic reforms in mobilising the private sector and rehabilitating public enterprises had continued to influence Malaysia's economic policies, and he was credited for having created a number of high-flying Bumiputera millionaires as a result of his policies.

His career was not without controversy, as recent years saw him embroiled in legal troubles.

In May last year, he was investigated for alleged corruption involving RM2.3 billion, linked to revelations in the Pandora Papers, and in January this year, he faced charges for failing to declare 71 assets, including luxury cars and properties, with him claiming political persecution by the current government as the motive.

These legal battles brought renewed media attention, overshadowing his previous achievements and placing a cloud over his legacy and many achievements. Many were surprised when he attended the court in a wheelchair, extremely frail.

Daim's sphere of influence extended beyond his ministerial role, as he was a key figure in Umno until his sacking in 2018 for supporting two-time prime minister Tun Dr Mahathir Mohamad and the opposition coalition, which eventually toppled Umno and former prime minister Datuk Seri Najib Razak’s administration.

Being a trusted lieutenant of Mahathir, Daim was appointed as the head of the Council of Eminent Persons, tasked with advising the new government after the 2018 general election. His insights and leadership were instrumental during Malaysia's transition under the new administration, reflecting his enduring impact on the nation’s governance.

In addition to his political endeavours, Daim was an academic achiever, having earned a PhD from the University of Malaya at the age of 81, and his thesis on the New Economic Policy of the Soviet Union demonstrated his lifelong commitment to economic studies and policy development.

Daim's passing leaves behind a complex legacy characterised by his economic contributions, political influence, and the controversies that followed him.

In the past few years, his involvement in business was limited, possibly due to his deteriorating health. On Bursa Malaysia, some of the companies linked to him include Johor-based developer Plenitude Bhd (KL:PLENITU) and resort operator Avillion Bhd (KL:AVI). For the longest time, he was said to be a substantial shareholder of Alliance Bank Malaysia Bhd (KL:ABMB), partnering Singapore state-controlled investment arm Temasek Holdings in Langkah Bahagia Sdn Bhd, a 29% shareholder of the financial group.

He also had a controlling 74% stake in AIM, London-listed ICB Financial Group, which at one time had a number of banks in Africa and Eastern Europe, among others, but many of these assets were understood to have been sold, and ICB had since been privatised.

While debates about his role in Malaysian history will continue, his impact on the country's economic and political frameworks remains undeniable.

Edited ByKathy Fong & Jose Barrock

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