The Railway Assets Corporation (RAC) is a federal statutory body under the Ministry of Transport. It was established under the Railways Act 1991 (Act 463) through the Government Gazette No.16 Volume 36 on July 30, 1992. It became fully operational as an organisation on Aug 1, 1992, the same time the Malayan Railway Administration (KTM) was corporatised and known as Keretapi Tanah Melayu Berhad (KTMB). In other words, the RAC was established as a Government agency to help develop the railway industry in Malaysia to be at par with the railway industry in fully developed countries.