KUALA LUMPUR, Oct 20 (Bernama) -- The minimum 30 per cent Bumiputera equity requirement remains in place in line with the Property Acquisition Guidelines (GPPH), which took effect on July 13, 2022, and is subject to approval by the Economy Ministry.
The ministry said the government is committed to ensuring that the country’s strategic assets, particularly those owned by government-linked companies (GLCs) and government-linked investment companies (GLICs), contribute more effectively to the Bumiputera economic empowerment agenda.
“The proposed increase in the equity requirement is one of the policy instruments to expand Bumiputera participation and ownership in strategic, high-impact properties, thereby supporting the country’s socioeconomic development agenda,” the ministry said in a written reply published on the parliament website.
The ministry was responding to questions from Lim Guan Eng (PH-Bagan) on the rationale for increasing the Bumiputera equity quota from 30 to 50 per cent for private companies involved in the disposal of properties worth more than RM20 million by GLCs and GLICs, on the value of transactions affected since the new rule was introduced, and whether the quota could be reverted to 30 per cent.
The ministry said that after taking into account stakeholders’ views and reviewing the proposed implementation of the requirement, the government has decided to enforce it through administrative measures to ensure that all GLCs and GLICs implement the Bumiputera economic empowerment agenda.
“The government will continue to monitor the implementation of policies on property acquisition and disposal, and periodically assess the effectiveness of the instruments used to ensure that the Bumiputera economic empowerment agenda is achieved effectively, while taking into account economic developments and current needs,” it added.
-- BERNAMA