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Call on Abdullah to act as a leader for all Malaysians and not just Malays to tell Umno General Assembly next week that the NEP must be reviewed and even scrapped as bumiputera corporate equity ownership had reached 36.64 per cent as revealed in Parliament on Tuesday
(Parliament, Thursday) : The Prime Minister, Datuk Seri Abdullah Ahmad Badawi should act as a leader for all Malaysians and not just the Malays and should tell Umno General Assembly next week that the New Economic :Policy (NEP) should be reviewed and even scrapped as bumiputera corporate equity ownership had reached 36.64 per cent as revealed in Parliament on Tuesday.
Deputy Finance Minister, Datuk Dr. Awang Adek had told Parliament on Tuesday during question time that bumiputeras own 36.6% of equity ownership at Bursa Saham valued at RM78.4 billion as at Dec 31 last year, as compared to 46.9 per cent or RM100.4 billion for non- bumiputeras and 16.45% or RM35.2 billion for foreigners.
As these figures are based on par value, the percentage of bumiputera corporate equity ownership would be very much higher if based on market value.
During the debate on the Prime Minister’s Department on Monday, I had spoken at length on the flaws of the Economic Planning Unit (EPU) methodology, giving ten illustrations on why the EPU methodology could be incorrect and misleading, giving a false picture of ethnic corporate equity, the corporate sector and the national economy.
I had expected the Minister who has direct charge of EPU, Senator Datuk Seri Effendi Norwawi to come personally to Parliament to give a point-by-point rebuttal to my speech and the 10 illustrations highlighting the six major flaws of the EPU methodology, but instead, he despatched his deputy minister, Senator Datuk Abdul Rahman Suliman who, when pressed, said he would give me a written reply to the examples I had given.
May be Effendi is embarrassed to come, because he is not only Umnoputra but NEPputra par excellence, who had benefited enormously from the NEP as compared to the overwhelming majority of the Malays – as illustrated by news report last month of his RM50 million divorce settlement with his former wife Zariah Hashim @ alias Farida Effendi. What percentage of Malays after 36 years of NEP could afford not 10 per cent, but one per cent, of Effendi’s RM50 million divorce settlement?
I am still waiting for the detailed reply promised by Abdul Rahman and I call on Effendi to ensure that such a response is given by Monday under his name.
Abdul Rahman had dismissed the University Malaya research study entitled “Bumiputeras in the Corporate Sector – Three decades of performance 1970-2000”, by Dr. M. Fazilah Abdul Samad, head of department of finance and banking in the Faculty of Business and Accountancy, which was completed in 2002 which found that the 30 percent bumiputera equity ownership as targeted under the government’s NEP had already been achieved about a decade ago when it hit 33.7 percent in 1997.
nominee company ownership which many economists have argued would be held in the majority on behalf of bumiputeras.
In any event, why
is Abdul Rahman rubbishing the Fazilah report that bumiputeras had reached
33.7% of equity ownership in 1997 when Awang Adek has admitted that as at
the end of last year, bumiputra equity ownership had reached 36.6%?
Opposition Leader, MP for Ipoh Timur & DAP Central Policy and Strategic
Planning Commission Chairman
Parliamentary Opposition Leader, MP for Ipoh Timur & DAP Central Policy and Strategic Planning Commission Chairman