The total payout to depositors this year will be RM514.20 million, higher than the 5% dividend of RM485.08 million declared for FY2023.

This marks the highest payout in seven years and will benefit 125,014 Malaysian Armed Forces contributors.

Making the announcement at the Royale Chulan hotel here, Khaled said the 2024 dividend reflects the success of disciplined investment strategies and the proactive management of legacy assets.

The dividend rate has gradually increased over the years, from 2.5% in 2019 to 3.5% in 2020, 4.1% in 2021, and 5% for both 2022 and 2023.

“Everything went well according to what LTAT planned, and the result is very inspiring, especially in terms of income, dividend, and reserve,” Khaled told reporters after the announcement.

Khaled said the government was satisfied with the integrity, commitment, and diligence of LTAT’s management and its subsidiaries in achieving a better dividend than in previous years.

He also said that based on the implementation of the Project Earth plan, he believed the fund would continue to achieve its planned goals.

The Project Earth plan was designed to offer LTAT a more comprehensive and strategic approach to reorganising the board’s wholly-owned unit, Boustead Holdings Bhd (BHB), and its subsidiaries.

The goal was to improve operational efficiency and productivity while ensuring that LTAT’s subsidiaries stay competitive in their respective industries.

Last November, the Public Accounts Committee (PAC) said the over-reliance of LTAT on BHB’s revenue and performance had exposed the board to issues related to its own investments.

PAC said that critical cash flow problems and numerous financial crises plaguing BHB and its subsidiaries had raised impairment risks up to 50% of the board’s fund value.

It said this amounted to almost RM5 billion of LTAT’s investments in the stock market.