KUALA LUMPUR: The Education Ministry will propose a review of the ownership structure requirements for tuition centres at the Cabinet meeting this week.
It said the requirements are detailed in its Private Education Institutions Policy Book, published in 2006.
“We take note of the various views raised regarding the requirements and remain open to hearing the views of all parties,” it said in a statement.
The ministry said the education sector should remain open to all parties wishing to contribute to the development and education of Malaysian children.
It added that it values the contributions of tuition centre operators and would continue working with all parties in the interest of education.
The statement came amid concerns over existing requirements governing the ownership structure of tuition centres.
Under the current requirements, private tuition centres in Malaysia must comply with a 30% bumiputra equity requirement or risk losing their operating licences from 2027.
The requirement has sparked public debate and concern among operators and politicians.
Social activist Tan Sri Lee Lam Thye said the proposal warrants careful consideration and timely action, noting that most tuition centres are small, neighbourhood-based businesses run by educators rather than large, profit-driven corporations.
“Many operate on modest budgets, founded by people who want to help students keep pace with schoolwork, build confidence and reach their potential,” he said in a statement yesterday.
He said the centres serve families across communities, often offering classes at rates affordable to ordinary households.
Lee said imposing strict equity ownership requirements on such small businesses could place an unnecessary and disproportionate burden on operators.
“Unlike large commercial entities, they do not have the resources to restructure ownership or navigate complex regulatory requirements,” he noted.
He also cautioned that the proposed rules could force established, community-focused tuition centres to close or scale back their operations, resulting in fewer learning options for students and removing an important support system for families.
Lee said if the policy objective is to increase bumiputra participation in the education sector, there are other ways to achieve this without imposing mandatory ownership requirements.
“The relevant ministry could focus on empowering educators through government-backed training programmes, start-up grants and accessible resources.
“These measures would directly encourage more bumiputra teachers to open their own tuition centres, building participation from the ground up, rather than through mandatory rules,” he said.
Lee also urged policymakers to protect small independent tuition centres from regulations intended for larger businesses so they could continue providing affordable educational support.
