Khazanah Nasional

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Khazanah Nasional
خزانه ناسيونل
Government-owned unlisted public
Industry Sovereign wealth fund
Founded 1993
Headquarters Kuala Lumpur, Malaysia
Key people
Najib Tun Razak, Chairman
Azman Mokhtar, Managing Director
Revenue Undisclosed
Total assets RM145.5 billion

Khazanah Nasional Berhad is the strategic investment fund of the Government of Malaysia.

Khazanah holds and manages selected commercial assets of the Government and undertakes strategic investments on behalf of the nation. It is involved in sectors such as power, telecommunications, finance, healthcare, aviation, infrastructure, leisure and tourism, and property, amongst others.

Its listed portfolio includes Axiata Group Berhad, CIMB Group Holdings Berhad, Tenaga Nasional Berhad, IHH Healthcare Berhad, UEM Sunrise Berhad, Telekom Malaysia Berhad and Malaysia Airports Holdings Berhad. Khazanah is also the state agency responsible for strategic cross-border investments.

Khazanah was incorporated under the Companies Act, 1965 in Malaysia on 3 September 1993 as a public limited company and commenced operations a year later. Khazanah is owned by the Minister of Finance Incorporated, except for one share held by the Federal Land Commissioner.

Khazanah is governed by a nine-member Board of Directors comprising representatives from the Government and the corporate sector with diverse professional backgrounds and expertis. Dato' Seri Mohd Najib Tun Abdul Razak, the current Prime Minister of Malaysia and Minister of Finance, is the Chairman of the Board.

In 2014, Khazanah's portfolio grew by nearly 7.7% to RM145.5 billion in terms of its realisable asset value (RAV), and by 9.1% to RM110.7 billion in terms of net worth adjusted (NWA). It also registered a proforma profit before tax (PBT) of RM3.2 billion. Khazanah also made 12 investments totalling RM7.2 billion and six divestments with a gain on divestment of RM3 billion for the year.[1]



Khazanah started operations in 1994 with the mandate to catalyse the development of strategic and high technology sectors. The investments made during the early years following Khazanah’s establishment focused on areas with the potential to bring about competitive advantages for the Malaysian economy. These included investments in semiconductors, electronics and electrical, and heavy industry.

In addition, Khazanah undertook divestment of its holdings when appropriate, in line with the strategic objectives set by the Government. On the back of the financial crisis that hit the region in the late 1990s, Khazanah also played a key role in mitigating the impact of the crisis, through a number of investments, which were deemed essential to stabilise and assist in the recovery of the Malaysian economy.

The New Mandate

In 2004, the Government ascribed a new mandate for Khazanah – to be an active shareholder to turnaround government-linked companies (“GLC”) and to invest in new sectors and geographies to support the economic development of the nation. This would be achieved by catalysing growth, raising national competitiveness and cultivating a culture of high performance to drive Malaysia’s competitiveness globally.[2] The Government appointed Tan Sri Dato' Azman Hj. Mokhtar as the Managing Director to lead Khazanah and undertake the new mandate.

Khazanah’s vision is to be the leading strategic investment house that creates sustainable value for a globally competitive Malaysia. Its proactive investment approach includes the management of existing investments and the GLC Transformation Programme, and making strategic investments in new sectors and geographies that are deemed important to Malaysia’s future. It is also involved in the active development of human, social and knowledge capital for the country.[3]


Board of Directors

Khazanah is governed by its Board of Directors. The board members consist of representatives from the Government as well as the corporate sector with diverse professional backgrounds and expertise.

The Board meets regularly and is ultimately accountable and responsible for Khazanah’s overall governance and performance. A Board Charter sets out the roles and responsibilities of the Board in overseeing the management of Khazanah.

The Board is assisted by two sub-committees – the Executive Committee (EXCO) and the Audit & Risk Committee (ARC). The four-member EXCO comprises three Non-Executive Directors and one Executive Director while the ARC consists of three independent Directors.

Chairman - Dato' Seri Mohd Najib Tun Abdul Razak, Prime Minister and Finance Minister of Malaysia

Deputy Chairman – Tan Sri Dato’ Seri Utama Nor Mohamed Yakcop, former Minister in the Prime Minister’s Department and Minister of Finance II, and Special Economic Adviser to the Prime Minister

Board Members

Management Team

  • Managing Director - Tan Sri Dato' Azman Hj. Mokhtar
  • Executive Director, Investments & Head of Investments – Dominic Silva
  • Executive Director, Investments – Ben Chan
  • Executive Director, Investments – Dato’ Noorazman Abd Aziz
  • Executive Director, Investments & Head of Khazanah Research & Investment Strategy – Datuk Hisham Hamdan
  • Executive Director, Investments – Tengku Dato’ Sri Azmil Zahruddin Raja Abdul Aziz
  • Executive Director, Investments – Kenneth Shen
  • Executive Director, Investments – Shahazwan Harris
  • Executive Director, Investments – Zaida Khalida Shaari
  • Executive Director, Investments – Ahmad Farouk Mohammed
  • Executive Director, Finance & Chief Financial Officer – Mohd Izani Ghani
  • Executive Director, MD’s Office and Head of MD’s Office – Jiv Sammanthan
  • Executive Director, MD’s Office & Head of Special Projects Office – Mohd Izani Ashari
  • Executive Director, MD’s Office & MD of Khazanah Research Institute – Dato’ Charon Mokhzani
  • Executive Director, Investments & Head of Strategic Management Unit, MD’s Office – Ahmad Zulqarnain Onn
  • Director, MD’s Office & Chief Risk Officer – Rohayati Othman
  • Executive Director, Corporate & Support Services, Company Secretary & Head, Legal – Mohamed Nasri Sallehuddin
  • Director, Strategic Human Capital Management & Head of Strategic Human Capital Management – Latifah Daud

Governance Framework[edit]

Khazanah is guided by a governance and accountability framework that establishes a clear structure of responsibility, authority and governance in how we operate. This is strengthened by internal systems and controls in the form of policies, procedures and guidelines on matters ranging from risk management and investment approvals to corporate values and ethical standards.

Khazanah makes disclosures of its performance and operations, including information required by law and the relevant authorities or voluntary dissemination of information to our stakeholders, including the public, across various platforms and forums.

Khazanah accounts are audited by an independent external auditor as well as the Auditor-General’s Office, and the audited financial statements are submitted to the Companies Commission of Malaysia. Key information is also shared with the Public Accounts Committee (PAC).

Public key information is also available on Khazanah’s official website and annual publications, including The Khazanah Report and Khazanah Corporate Responsibility Report.[3]

Financial Highlights[edit]

Khazanah's performance is measured via two benchmarks i.e. realisable asset value (RAV) and net worth adjusted (NWA). Its strong performance is attributed to sustained steady performance of its investee companies and the appreciation in value of other investments.

The Khazanah Annual Review (KAR) is part of stakeholders’ engagement to present the previous year’s performance.

In addition, Khazanah has started since 2012 to publish annually The Khazanah Report (TKR).

Portfolio companies[edit]

Khazanah's investee companies are involved in various sectors such as:



  • Malaysia Airports Berhad (MAHB) (36.7%)
  • Malaysia Airlines Berhad (MAB) (100%)
  • Penerbangan Malaysia Berhad (100%)

Creative & Media

Financial Services


Infrastructure & Construction

Innovation & Technology

Life Sciences

Leisure & Tourism



Sustainable Development



Portfolio segmentation by major sectors (as at 31 December 2014)[3]

  • Transportation & Logistics (5.1%)
  • Infrastructure & Construction (3.9%)
  • Creative & Media (2.7%)
  • Innovation & Technology (2.4%)
  • Leisure & Tourism (1.8%)
  • Others (1.4%)
  • Sustainable Development (1.1%)
  • Consumer (0.7%)
  • Life Sciences (0.3%)
  • Agriculture (0.3%)
  • Education (0.03%)
  • Cash (2.9%)

RAV by geography (as at 31 December 2014)[3]

  • Malaysia (59.2%)
  • Singapore (9.6%)
  • Indonesia (6.9%)
  • Turkey (6.0%)
  • China (5.3%)
  • India (4.2%)
  • Philippines (0.6%)
  • Others (8.2%)

GLC Transformation (GLCT) Programme[edit]

The GLCT Programme was announced on 14 May 2004 and officially launched on 29 July 2005. The Putrajaya Committee on GLC High Performance (PCG) was formed in January 2005 as a steering committee for the programme and drives the transformation of GLCs into high performing entities, ad accelerate the country’s social and economic development.

PCG, chaired by the Prime Minister, comprised representatives from MOF Inc and PM’s Office as well as heads of Government-linked Investment Companies (GLIC) namely Employees Provident Fund, Khazanah, Lembaga Tabung Angkatan Tentera, Lembaga Tabung Haji and Permodalan Nasional Berhad. Khazanah was the secretariat to the PCG and managed the roll-out and implementation of the GLCT Programme, which was completed on 28 July 2015.

Thought Leadership[edit]

Khazanah Megatrends Forum (KMF)

Held annually preceding Khazanah’s strategy and business planning cycle, KMF brings together experts and thought leaders to discuss the main mega trends, as well as to address topical matters of interest. Invited guests were Malaysian corporate leaders, policy makers, think tanks and practitioners from the public and private sectors as well as civil society.

Khazanah Global Lectures (KGL)

As part of the mandate for human capital development, KGL features global leaders and thinkers that have influenced the way people live, work and think; to share their thoughts, beliefs and ideas. With the theme “development”, each speaker share his/her own experience and ideas on international, economic, social and corporate development issues while taking into consideration Malaysia’s past, present and future direction. KGL is broadcast live to universities across the nation to ensure a wider reach among the younger generation and future leaders of Malaysia.

Past speakers of KGL:

Corporate Responsibility[edit]

Khazanah’s corporate responsibility (CR) is led by Yayasan Hasanah (Hasanah), a foundation incorporated in December 2013 to carry out an enhanced and more strategic approach to sustainable value distribution. Hasanah supports efforts that empower communities, encourage social inclusivity, and improve local environments.[4]

Its 5 core areas:

  • Education
  • Community development
  • Environment
  • Arts, heritage and culture
  • Knowledge


External links[edit]