PETALING JAYA: Differing statements by the Education Ministry and the Investment, Trade and Industry Ministry (Miti) over the 30% bumiputra equity requirement for private education institutions have created anxiety among stakeholders in the private education sector, says MCA Beliawanis national chairman Ivone Low Yi Wen.
Low said the Education Ministry had announced on Monday (Sept 21) that the requirement had been removed after discussions with Miti.
However, Miti said the following day that it had no information on the matter.
“Which Miti was the Education Ministry actually speaking to? One ministry claims talks were held, while the other says it has no knowledge of the matter,” she said in a statement on Tuesday (Sept 22).
“Who exactly was in the room during this supposed discussion session?”
Miti also said matters involving bumiputra equity ownership came under the Economic Planning Unit, which was under the Economy Ministry.
Low said the conflicting statements left private education operators and the public unclear about the policy's status.
“Confusion only creates unnecessary anxiety for stakeholders in the private education sector. Both ministers need to step up, rectify these conflicting accounts, and set the record straight once and for all,” she said.
The Education Ministry said the 30% bumiputra equity ownership requirement would no longer apply to private limited companies operating private educational institutions.
It said the move was made to meet the education sector's current needs and ensure participation remains open to all parties wishing to contribute to the country’s education development.
The requirement was stated in the Private Educational Institutions Policy Statement Book published in 2006.
The issue came to light last week after Petaling Jaya MP Lee Chean Chung highlighted that tuition centres had to meet the condition when renewing their licences.
The condition drew criticism from several groups and individuals, including independent scholar Sharifah Munirah Alatas, the Melaka Action Group for Parents in Education and former deputy education minister Datuk P. Kamalanathan.
They said the government should encourage bumiputra participation in the sector through financing, training and grants rather than through licensing conditions.
