Miti clarifies role in private education equity policy

KUALA LUMPUR: The Investment, Trade and Industry Ministry (Miti) has clarified that it was not informed about the latest decision to remove the 30 per cent Bumiputera equity requirement for certain private education institutions (IPS).

Miti referred to the Education Ministry's (MoE) statement on Sept 21 regarding the alignment of ownership requirements for IPS under the MoE.

"Miti would like to clarify that the ministry has no information regarding this matter," it said in a statement.

The clarification follows the MoE reportedly stating that removing the minimum 30 per cent Bumiputera equity requirement for private limited companies operating IPS resulted from discussions with Miti.

The MoE said the adjustment reflects the current needs of the education sector and keeps participation open to all parties.

Miti stated that matters relating to Bumiputera equity ownership policy fall under the purview of the Economy Ministry.

Under its PuTERA35 or Bumiputera Economic Transformation Plan 2035, the Economy Ministry has identified increasing Bumiputera equity ownership as a key policy priority.

The MoE had said the 30 per cent requirement was previously set out in its 2006 Private Education Institutions Policy Statement, particularly for certain IPS owned through private limited companies.

Private education institutions are regulated under the Education Act 1996. Institutions must obtain approval for establishment and register with the relevant authorities before operating.

Miti said the clarification was to ensure the ministry's role in the matter was accurately understood and that public information remained clear and precise.