“The current Board have been honoured to serve, and feels it appropriate to offer the new government the discretion and reaffirm the prerogative to form the new Board,” Khazanah said in a statement, confirming the report.

The paper said they signed undated resignation letters during a special board meeting on Tuesday.

The other Khazanah directors comprising prominent bankers and corporate figures are Nazir Razak, Nirmala Menon, Mohamed Azman Yahya, Mohammed Azlan Hashim, Yeo Kar Peng, Andrew Sheng Len Tao and Raja Arshad Raja Uda.

The decision comes weeks after Prime Minister Dr Mahathir Mohamad criticised Khazanah for deviating from its initial purpose of helping Bumiputeras.

“It is quite obvious now that they are doing all kinds of funny things. They are buying houses and they are taking over companies,” he said early this month.

Khazanah had later responded by saying it would seek clarification from Putrajaya on its mandate and investments.

Khazanah was established in 1993 to manage commercial assets owned by the federal government and to undertake strategic investments.