2. INTRODUCTION
There were 6.1 million Bumiputras in 1970, or 56 percent of
the populace. The Malays comprised nine main ethnic
groups, Orang Asli were divided into 18 categories, Sabah
Bumiputras had 40 ethnic groups while Sarawak had 60
ethnic groups.
During the 2010 Umno General Assembly, Datuk Seri Najib
Tun Abdul Razak mentioned that Jawa is Malay, Bugis is
Malay, Banjar is also mentioned as Malay, Minangkabau is
definitely Malay, those of Acheh origin are Malays, in fact, a
convert is defined as Malay, even Mamak and Malbari have
been absorbed as Malays.
The 2010 Population and Housing Census, showed Malays
and Muslim Bumiputras made up 59.7 percent. While, non-
Muslim Bumiputras were 7.6% of the overall populace.
Current projections, as of 2012, estimated the population of
Malaysia as 27.4 million people of whom Bumiputra
4. National Economic Policy (NEP) was introduced in
1970 to address this issue and through it several
social and economic restructuring instruments were
introduced. These instruments were aimed to
simultaneously increase the Bumiputera’s participation
in the modern sectors of the economy. The NEP
targeted a 30% share of the economy for the
Bumiputera.
The policies following the NEP, the National
Development Plan was between 1991 and 2000
(NDP) and National Vision Policy traversing 2001 to
2010 (NVP) are more committed to growth, eradicating
hard-core poverty, raising incomes and deregulation.
All these policies are based on development by
“amanah” or trusteeship to achieve the two principal
objectives of poverty eradication and socio-economic
restructuring
NVP is axial reinforcement and a catalyst for achieving
5. The NEP and NDP objectives of reducing
the incidence of poverty have been very
successful and there has been a marked
reduction in the incidence of poverty
among the Bumiputera and an increase in
overall Bumiputera participation in
commerce and industry, and ownership of
corporate wealth.
6. THE IMPORTANCE OF CORPORATE EQUITY
To encourage the participation of
Bumiputera in the economy. Corporate
equity ownership was important to
compensate for discrimination and
disadvantages that the Bumiputera was
facing; and to provide:
Employment opportunities
Business opportunities
Wealth creation mechanisms
7. THE ACHIEVEMENT EQUITY OWNERSHIP OF
BUMIPUTERA
1970 to 1990
Bumiputera share of corporate ownership increased
from 2.4% to 19.3%. In comparison, the non-
Bumiputera share had increased from 32.2 percent to
41.1 per cent.
2000
Bumiputera ownership was only 18.9% and the target
remains the focus of restructuring efforts under the
Third Outline Perspective Plan (2001-2010).
2004
Following implementation of the NEP, the wealth
attributable to Bumiputera, government trust agencies
and government-linked company (GLC) increased
appreciably, from 2.4% in 1970 to about 18.7%
8. 2008
Total equity ownership is as follows:
o 21.9% for Bumiputera.
o Non-Bumiputera is 36.7%.
o The foreigners stood at 37.9%.
o Nominee of is 3.5%.
As of 2008, the data show Bumiputera equity
target not reached the set target of 30% (NEP).
Efforts should continue to be made to ensure that
this position is reached (Bumiputera population is
67%).
However, the Bumiputera equity condition may be
considered better than in 1970 in which only holds
2.4% Bumiputera only. Total increase from the
year 1970-2008 stood at 19.5%
9. 2010
Bumiputera corporate equity ownership
has increased from 21.9% worth
RM127.08 billion in 2008 to 23.09% worth
RM167.7 billion in 2010.
2011
The Bumiputera corporate company equity
rate had also gone up from only 2.4% in
the 1970s to 23.5%.
10. CHALLENGE
In the context of corporate company equity
ownership, we have yet to achieve a target of at
least 30%. Our effective control on corporate
companies currently is only around 10%. The
government also understands that the involvement
of the Bumiputera communities in
entrepreneurship activities is still insignificant and
the majority is at the small and micro levels.
The NEP had achieved its goals. But, like taking
medication, it has unintended effects.
One, Bumiputeras have become complacent and
dependent. The NEP has created a new culture of
patronage and rent-seeking, and has pushed
talents to leave the country.
11. GOVERNMENT'S EFFORTS TO TRANSFORM
THE BUMIPUTERA ECONOMY.
New Bumiputera Economic Empowerment
Council (BEEC) :
Empowering Bumiputera human capital
Strengthening the Bumiputera equity
ownership in the corporate sector.
Enhancing Bumiputera entrepreneurship and
business.
Strengthening the service delivery ecosystem
Strengthening Bumiputera ownership of non-
financial assets.
(The thrusts are strategic, focused and quantitative)
12. ACHIEVEMENT
After currency crisis (1997) has undermined, the
emergence of such inter-ethnic partnerships, most
of which started as small and medium-scale
enterprises (SMEs).
Malaysia is the only one of the dynamic economies of East
Asia that is substantially multi-ethnic in social composition.
Academic institution: UiTM (1956)
Since independence, the government had created
numerous instruments and institutions for the
Malays and Bumiputeras, among which were Bank
Bumiputera, Tabung
Haji, MARA, FELDA, RISDA, FELCRA, UDA, PERN
AS, DARA, JENGKA, KETENGAH and KESEDAR.
The Bumiputera poverty rate had gone down from
64.8 percent in the 1970s to 2.2 percent in 2012.
13. REFERENCE
Bumiputera equity ownership rose to 23.09pc in
2010 - Top News - New Straits
Times http://www.nst.com.my/top-
news/bumiputera-equity-ownership-rose-to-23-
09pc-in-2010-1.76890#ixzz2gxgTEVT6
http://www.undp.org.my/files/editor_files/files/UND
P%20prodocs/Project_Document_Poverty_Sabah
_Sarawak_00047703.pdf
http://www.pekema.org.my/
http://wajabangsa.blogspot.com/2013/07/patriotis
me-ekonomi-melayu.html
http://johorinfo.blogspot.com/2013/03/peratusan-
pemilikan-ekuiti-mengikut-kaum.html
http://www.rajamenangis.com/2010/06/2010-2015-
pemilikan-ekuiti-bumiputera_3940.html
