Prime Minister Abdullah Ahmad Badawi (left) today announced the appointment of Najib Abdul Razak (right) as the country's ninth deputy premier, along with a minor cabinet reshuffle.

Najib will retain his portfolio as defence minister and all new appointments will take immediate effect, the premier said at a press conference at his office in Putrajaya.

Muhyiddin Yassin will take over the Agriculture Ministry from Effendi Norwawi, who will assume the post of a minister with special functions in the Prime Minister's Department.

Jamaluddin Jarjis, who is currently second finance minister, will head the Domestic Trade and Consumer Affairs Ministry, previously held by Muhyiddin.

Nor Mohamed Yakcop, a former Bank Negara advisor and a special advisor to former premier Dr Mahathir Mohamad, will take over as second finance minister while Abdullah remains the finance minister.

Abdullah also announced that Nor Mohamed will be sworn in as a senator on Friday before assuming his new post.

The premier said he gave Najib his appointment letter yesterday evening and informed the cabinet of his decision this morning.

"We had an audience with the King this morning to officially inform His Majesty of the appointment," he told reporters.

Jamaluddin grateful

Explaining his decision to reshuffle two key cabinet ministers, Abdullah said he had transferred Muhyiddin so that the latter could oversee and guide developments in the agricultural sector.

"Agriculture will be playing a bigger role (in the economy) especially with more advanced farming technology. We want to encourage programmes which increase small holdings and commercialised farming," he said.

"This is to ensure that the agricultural sector can become a new area of growth which will also add to the income of farmers."

He also said Jamaluddin had expressed appreciation over the transfer, saying that the move was considered a step up from the position of a second minister to a minister.

Elaborating on the tasks of the two new additions to the cabinet, Abdullah said Effendi's portfolio as special functions minister would include matters relating to the economy and national projects.

"I will further discuss with Effendi his responsibilities in this role," he said.

Abdullah said the appointment of Nor Mohamed was in view of the latter's experience in advising Mahathir on economic affairs.

"He was the economic advisor to Dr Mahathir and I retained him for the same role when I became prime minister. He has vast experience in the field and therefore is very suitable for this position (of second finance minister)."

Abdullah also explained that the decision to elevate Nor Mohamed to senator was to avoid the need for the newly appointed cabinet minister to have to seek "political support".

"He is a professional and his appointment will enable him to give professional services to the Finance Ministry," he added.

Pressing commitments

On the reason for his sudden decision to appoint a deputy after keeping mum for months, Abdullah shrugged and quipped, "When I don't appoint, people ask why I don't appoint. Now, I have done it, they also want to know (why)."

However, he added that the decision was partly due to his need of a deputy in view of pressing commitments abroad.

"I told you that I will announce once I decided that I need a deputy...This year I will be doing a lot of travelling. I will be going to all the Asean capitals.

"Beyond Asean, the Organisation of Islamic Conference and Non-Aligned Movement also have to be given attention," he said, referring to Malaysia's chairmanship of the two organisations.

The newly minted prime minister is due to visit Indonesia on Thursday, followed by Singapore and the Philippines next week.

However, Abdullah appeared evasive when asked if the appointment signified that the general election is around the corner.

"If that was the case, I wouldn't have to appoint a deputy," he replied.

Questioned about the reaction of Umno members to the news, he said, "I think it will be good. (Najib) is the number one vice-president."

The announcement by Abdullah today ends months of speculation over his choice of deputy from among three of Umno's elected vice-presidents - Najib, Muhyiddin and former Selangor Menteri Besar Muhamad Muhd Taib.