Ministry of Economy: Main Leader of National Development Since 1956
Early History of the Establishment
The Ministry of Economy is the main government agency responsible for preparing the national development plan. This ministry started on 24 April 1956 with the establishment of the Economic Secretariat to the Economic Committee of the Federal Executive Council. The Economic Secretariat was reorganized into UPE in 1961 and headed by the Deputy Secretary General (Economics) in the Prime Minister's Department. Starting in 1970, UPE was led by a Director General with Tan Sri Dato' Thong Yaw Hong appointed as the first Director General.
Functional Reinforcement and Reorganization
The Ministry of Economy has gone through several processes of strengthening its functions to strengthen the role of UPE in the country's socio-economic development planning. This includes the reorganization of its organizational structure in 2007 which has specialized the field of planning into two sectors, namely macro planning and sectoral planning. In 2009, UPE's Privatization and Financing of Private Initiatives (PFI) Section was transferred to the Public Private Cooperation Unit (UKAS), a new agency under the Prime Minister's Department.
Establishment of the Ministry of Economic Affairs
With the change of government after the 14th general election in 2018, UPE has been restructured into a ministry which is the Ministry of Economic Affairs (MEA). The MEA's main mandate and mandate is to lead the nation's socioeconomic development through quality planning towards inclusive, fair and equitable national development. In addition, the MEA is also given supervisory responsibility for 31 agencies, statutory bodies, government-related companies and state economic development corporations. Following the decision of the Cabinet dated 18 December 2019, the UPE was officially dissolved with the role and functions of the UPE being taken over by the MEA. With that, the MEA function is more comprehensive covering aspects of planning, implementation, monitoring and regulation.
Reestablishment of EPU under the Prime Minister's Department
The EPU was re-established as an agency under the Prime Minister's Department following the formation of the new Cabinet on 10 March 2020. The EPU took over the role and responsibilities of the MEA when the MEA was dissolved. Since its establishment almost six decades ago, the role and function of the EPU in preparing the national development planning plan for the medium and long term has not changed much even though it has gone through several processes of reorganization, dissolution and re-establishment. EPU always aligns its development philosophy with changes in Government administration and current development policy.
Dissolution of EPU and Takeover by the Ministry of Economy (2022)
On 23 December 2022, the EPU was dissolved following a change of government after the 15th general election. The role and responsibility of the EPU is taken over by the Ministry of Economy led by the Secretary General, Dato' Nor Azmie bin Diron.