Monitoring Infrastructure Projects Awarded across All Tenders to Mitigate Risk of Overexposure on Particular Contractors

Parliamentary Question by Mr Zhulkarnain Abdul Rahim:

To ask the Prime Minister and Minister for Finance whether the Ministry monitors the number and monetary quantum of infrastructure projects awarded to contractors across all tenders or projects administered by the various Ministries and agencies to ensure that there is no risk of overexposure of liability, finance or resource on a particular contractor or party.

Parliamentary Reply by Second Minister for Finance, Mr Chee Hong Tat:

Managing the risk of overexposure to particular contractors or suppliers is a multi-agency effort. The Ministry of Finance, together with the Building & Construction Authority, collaborates with government agencies to diversify the contractor and supplier pool and put in place contingency plans. Each agency structures its procurement to avoid over-reliance on a small pool of suppliers and regularly monitors the concentration risks.