CoFfEE witH PUNithAN

BUMIPUTERA'S EQUITY TARGET YET TO ACHIVE........

There will not be a total removal of the New Economic Policy (NEP), Umno vice-president Tan Sri Muhyiddin Yassin said.

He said Deputy Prime Minister Datuk Seri Najib Tun Razak’s remarks about the gradual liberalisation of the NEP should not be construed as a call to totally remove it.

The policy was introduced in 1970 to help put bumiputras on par with other races in terms of the share of the economic pie, as well as in terms of education, business participation and work opportunities.

Muhyiddin said the bumiputra community had yet to achieve the 30% equity stake that remains the target of the NEP.

Umno Youth agrees that the New Economic Policy (NEP) needs a fresh approach, but it rejects any suggestion to abolish the bumiputra equity policy.

The movement’s economic bureau chairman, Datuk Reezal Merican Naina Merican, said MCA vice-president Datuk Liow Tiong Lai’s suggestion on Monday to abolish the mandatory 30% bumiputra equity in public-listed companies was ad-hoc and drastic.

He said a “Genuine Partnership Initiative” to create better and more equal business ties among the various races would be a better alternative in today’s difficult economic environment.

Reezal said he hoped the proposal would be taken up by the Government to look into incentive and tax-exemption mechanisms that were similar to those given to companies awarded MSC status.

He added that the initiative should have sufficient incentives to encourage entrepreneurs to develop better economic cooperation and interaction among those in the multi-ethnic business community in the country.

“This cooperation could become a basis to open up minds to compete in the free-market private sector,” he said.

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