Govt to drop 30% Bumiputera equity rule for tuition centres

The education ministry plans to drop the 30% Bumiputera equity rule for tuition centres, it announced yesterday. Private education establishments operating under the ministry's oversight will no longer be bound by this requirement, according to the ministry. The decision was reached after consultations with the investment, trade and industry ministry.

The ministry stated the change was made to meet the current demands of the education sector and to ensure that the sector remains open to all potential contributors. This move follows Petaling Jaya MP Lee Chean Chung's recent highlight of a ministry guideline that ostensibly required tuition centres to maintain 30% Bumiputera equity for their license renewals next year.

The condition faced criticism, with independent scholar Sharifah Munirah Alatas arguing it discouraged Bumiputera entrepreneurship and was unfair to operators who had grown their businesses over the years. The Melaka Action Group for Parents in Education also called for the government to provide financing, training and grants to encourage Bumiputera participation in tuition centres.