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When more accurate and acceptable facts are used, people would still hold on to their beliefs and establish their own truths based on their perceptions and called others forming a “polemic”.

The government has removed GLCs from its figures. ASLI had estimated 70% of GLCs ownership as bumiputera and do you believe what Abdullah says:”..profits made by GLCs were channeled to the Treasury as "Consolidated Fund" and the money is used to finance development projects for the benefit of ALL races.”

Najib came out with the argument “statistics used by Asli researchers are based on the average value. If we use other indicators, probably it will show that companies reaping big profits will have a higher share value than low-performing ones," he said.
i.e the basis of the NUMBER of shares held, or the PAR VALUE – so a unit of Tenaga share is equivalent to a unit of a small-medium entreprise share.

A suggestion was made “to the government to swap ONE Tenaga share for TWO Farlim shares, as an example?” This way the bumiputera community will be able to DOUBLE up their number of share holding almost immediately.

The question was posed- What is the REAL motive of using the PAR VALUE as a basis of calculation? Is the government trying to hide the fact that the affirmative policy has benefitted and enriched only a FEW people and left many stranded under the jaws of poverty? WHO control the majority of the wealth attributed to the bumiputera community?
Now read the detailed arguments by the experts & Terrence Gomez full text on the flaws of the 9MP to a “Bumpy road to Bangsa Malaysia” in:

http://powerpresent.blogspot.com/2006/10/pm-abdullah-rejects-aslis-equity.html

My sentiments exactly when I read the report and listened to Dr Lim's explanantion about how some shares are worth so much more than others; what matters most is market value rather than par value. What's more funny are the comments from the government as none of them have any form of training as research economists. And I too question if they have read the report.

Dr Lim has said he'd be more than happy to compare statistics ... would the government be willing to take the challenge? I think not. Maybe Muhyiddin can make himself useful since he said Asli should prove their research. Sit down and limteh over itlah.

to put it simply in layman terms, they want to have at least 30% equity in all market segments. Meaning, be it your father's hawker stall, your uncle's hardware shop and even your grandpa's grocery shop, they want to have 30%. Therefore, our government is saying if you total up all these market segments, the bumis only own 18.9% equity. I guess you will soon see them selling siu yuk kai fan and char siu wantan mee soon....hahahaha! stay positive man!

ASLI is truly original. In one broad stroke, we can now credit the Pak Lah government for lifting the Malay economic pie from the ~19% level in 2004 to the current 45%. Truth be told, the likeliest fraction ought to lie somewhere between these two extreme numbers. It does appear that our government has had some successes since the adoption of NEP in 1971, more than what it cares to take credits for. Now let's set the bar at 80% and bring in the New National Agenda!

Where's the land in the equity equation? That will burst 50%?

Oh come on. Both ASLI and government numbers are rubbish. Since when listed companies in Malaysia represent ALL companies in this country? How about those multinationals that are not listed? How about private businesses that are not even incorporated?

If I want to show that Bumiputra's ownership is more than 50% of all wealth, I would demand Petronas to include its number, not merely Petronas Dagangan or Petronas Gas or MISC, which we all know are listed in KLSE.

This debate will remain stupid if the term 'wealth' is not defined properly.

Excerpt from a Malaysiakini interview…

NEP: ‘It will destroy the Malays’

Surprising “end it” call made by retired Guthrie CEO,
Khalid Ibrahim.
By Bede Hong. Malaysiakini.
Oct 4, 2006

Since joining Party Keadilan (Parti Keadilan Rakyat) as its treasurer in July, Khalid Ibrahim has called for the abolishment of the New Economic Policy (NEP) - an affirmative action scheme launched in 1971 to uplift the lot of poor Malays.

The call is surprising as it comes from a person once described as an ‘industry captain’.

Khalid, 60, is the former chief executive of Kumpulan Guthrie Bhd and former group chief executive of government-linked plantations company Permodalan Nasional Bhd (PNB).

He stepped down from Guthrie in 2003. He also set up an asset-management company managing funds from licensed offices in Kuala Lumpur and Singapore.

After spending nearly two decades in fund management, most recently with Malaysia’s National Equities Board (PNB), Khalid has made an about turn.

Interviewed by malaysiakini, Khalid, among other things, describes the NEP as ‘the devil’ and laments the lack of successful bumiputera entrepreneurs.

Interview (truncated)

Malaysiakini: If the NEP is not doing what it’s supposed to do, then what is it being used for?
Khalid: It is a known secret that all division heads of Umno have a chance to get contracts from the government in order for them to fund their political activities. They became Malay rent collectors used by non-Malays to become front-runners to get these projects. And it becomes a habit and a norm rather than an exception.

Now the whole country is in a mess. In fact, if you take notice, the on-going exchanges between (Dr) Mahathir Mohamad) and Dollah Badawi (Abdullah Ahmad Badawi) are centred on the failure of contract handouts rather than the poor or the marginalised people. The debate has left out the poor people of Sabah for example, where statistics show a very high percentage of poverty.

We do see that the NEP has become a tool for securing income, unearned income for those who don’t do work. It’s really a free income for those who have connections with the government.

The after-effect is that there is so much loss in government expenditure that the taxpayers are not getting the value on the expenditure made.

The NEP is not being updated, compared to other institutions that were set up in the early days like PNB, Tabung Haji, Felda, Tabung Angkatan Tentera. Unlike the NEP, these other institutions are moving forward in a steady way.

They had wanted to create so-called Malay corporate leaders and entrepreneurs when in fact it’s very hard to find them now. Those who are the super corporate entrepreneurs now, in terms of world class standards, you don’t get bumiputera or Malay names.

You get names like T Ananda Krishnan, Yeoh Tiong Lay, Lim Goh Tong and Robert Kuok (laughs) … I think the whole of Malaysia enjoys the NEP because the NEP is not going to the Malays.

In our discussion on the NEP … participants were telling us since the early 1980s and 90s they (the top businessmen) were constructing companies and building real estates and so forth. They became major players, the companies grew from millions to billions. But until today, they are just sub-contractors in Malaysia.

But if you analyse them (the major players) in a cynical manner, their success (is founded on the ability) to use the Malays to get contracts, and they benefited enormously from that. This is the seed of corruption…These sub-contractors now have to increase their cost in order to compensate the bribe they pay the runners to get those contracts.

Can you imagine this in Malaysia that wants to have more corporate governance, to become a highly regarded transparent nation? I think the NEP has in fact destroyed us, corrupted the whole thing. That’s why we say, hey, it doesn’t please a lot of Malays, it also doesn’t please the Chinese or Indians, and it also destroys the good character of how we to do business.

People have been saying it’s only about implementation, but it has already taken the character of the devil (laughs). We cannot do with this. That’s why it (NEP) deserves to be cut off.

This instrument is going to be one that will kill us and kill the nation. It has become a cancer of society. And to solve the problem of cancer, we cut it off.

The fight within Umno is on how they’re getting the best of the NEP. The 3,000 (UMNO delegates) control the destiny of the nation. Ask people in the villages, they’ll tell you they wouldn’t know that they have big contracts waiting for them.

malaysiakini: How would things be like if the NEP is abolished or modified …
Khalid: Now, if it wasn’t for the NEP, we could have achieved better growth because of the better ability to use resources. We could have an additional three or four percent in annual growth.

If you look at Singapore or Malaysia, they started off about the same time, that means the per capita income in both countries were about the same. Now, Malaysia’s just below US$5,000 but Singapore’s US$21,000.

What does this mean? Should we be discussing about the NEP? The logic of the technical economic argument shows that the NEP hindered growth, while the proponents of the NEP during my period (said it) was to create political stability. Without political stability, there is no environment for industrial growth.

But the environment has changed, foreign investors are afraid of coming in. Investors have to consider this renter class that is going to tax you 30 percent.

I think the NEP has also condoned the lack of professionalism in governing and management, meaning it doesn’t care whether you are efficient or not, when you distribute to your friend. You can charge a higher price.

In order to hide all these mismanaged activities, the government is not being transparent. The government still relies on the OSA (Official Secrets Act) to hide the inefficiencies. Now there is no separation between the executive, legislature and judiciary in order for there to be check and balance.

In fact, the government has become a collusion with everybody rubbing each other’s back. Certain ministries and civil servants must be cunning enough to adjust some of the requirements of general order in order to accommodate the giving of these concessions.

And of course the politicians have to collude with the executive in order for them to have free trips to play golf in exotic places under the pretext of trying to set up real estate investment and study tours.

During the Anwar (Ibrahim) case, you can see this relationship (between the executive, legislature and judiciary). They became one team. That’s where we are now, the result of trying to implement the NEP … a creature that is going to destroy the future generation of Malays.

My post in anwaribrahimblog.com on a reply of one Malay asking that NEP failed because it should have asked for 70% equity ownership of the Bumiputera instead of 30%.

Saya amat menyesali kelakuan fahmi dan ramai yang lain kerana mempunyai pandangan myopic atau visi pendek dan fikiran cetek. Jika Malaysia bertanding dengan negara-negara lain dalam dunia globalisasi ini, siapakah yang akan berdagang dengan Malaysia jika 70% aktiviti ekonomi tertumpu kepada Bumiputera atau lebih menonjolkan lagi sepuak bangsa Melayu yang tamak haloba dan bukan semua Bumiputera yang layak menerima bantuan dari DEB.

DEB hanya untuk tempoh sementara untuk membina landasan pembangunan bangsa Melayu. Ia dirancang selama hanya 20 tahun sejak dilancarkan pada tahun 1970. Rancangan DEB semoga bangsa Melayu dan Bumiputera dapat berdikari selepas itu kerana DEB bukan satu-satunya kaedah pengagihan sumber yang efisyen. Ia tidak telus dan tidak menggalakkan penggunaan sumber yang efisyen. Tetapi, DEB sekarang sudah melepasi tempohnya dan digunakan oleh segelintir bangsa Melayu yang mencampuradukkan politik UMNO untuk mengaut kekayaan Malaysia dan merompak dari usaha-usaha dari masyarakat yang lain.

Inilah sebabnya Malaysia tidak mengecapi kejayaan seiras Singapura. Negara-negara lain seperti India, Vietnam, Thailand kian maju bertanding dan mungkin melepasi Malaysia sebelum 2020. Malah dikhuatari Malaysia tidak dapat mencapai Visi 2020 jika diteruskan perkembangan ekonomi yang tidak rancak kini. Perkembangan di bawah 6% yang dialami 2-3 tahun sekarang sudah tentu tidak cukup untuk mencapai Visi 2020.

Inilah masanya bangsa Melayu bangun untuk menyahut cabaran untuk berdikari. Inilah masanya bangsa Melayu tidak bergantung kepada susu ibu lagi. Sudah masanya untuk makanan orang dewasa. Jika 20 tahun masa yang lama, berapakah lamanya lagi nak jadi bayi? Sudah 36 tahun DEB bergiat menghabiskan kekayaan negara dengan tidak menggalakkan pertandingan sewajarnya.

Biarlah 31 Ogos 2007 - tahun kelahiran Malaysia 50 tahun sebagai waktu membangunkan diri dan bebas dari DEB.

Semua hak-hak bangsa Melayu tetap di dalam Perlembagaan Malaysia tetapi bukan DEB. Bangsa Melayu dan Bumiputera sepatutnya diberi peluang pendidikan dan biasiswa tetapi tidak diberi lulus peperiksaan semata-mata dan kemasukan ke dalam universiti secara buta tuli. Kedudukan sultan dijaga tetapi kedudukan Perdana Menteri dan kabinet lain dibuka kepada mereka yang berwibawa tidak kira bangsa dan agama. Agensi kerajaan ditubuhkan supaya lebih giat memberi pinjaman dan nasihat untuk golongan peniaga Bumiputera tetapi tidak membenarkan mereka mengaut projek kerajaan melalui amalan tidak telus, tidak halal dan tidak adil. Inilah masanya bangsa Melayu menyahut cabaran globalisasi sebelum terlambat.

Mansurkan DEB Dasar Ekonomi Baru sebelum terlambat. Jika nak pandai, kita harus mengajar memancing dan bukan memberi hasil tangkapan beribu-ribu ikan. DEB hanya memberi projek kerajaan buta tuli dan mereka yang tidak mampu mengendali projeknya hanya menjadi penjaga tol untuk mengaut kekayaan tanpa sebarang kerja dan usaha. Ini tidak halal dan tidak menggalakkan pembangunan bangsa Melayu.

Mansurkan DEB Dasar Ekonomi Baru sebelum terlambat. Mansurkan DEB sebelum ulangtahun 50 hari jadi Malaysia 31 Ogos 2007.

A write up in english instead of the above post in Bahasa Malaysia.

The Constitution only allows for help for the Bumiputera in terms of scholarships, funds to maintain the national language (dewan bahasa dan pustaka), the heritage of sultans. NEP is never mentioned in the Constitution. It is supposed to be just for 20 years which ends on 1989. There is no need for a 30% market share of bumiputera companies, housing discounts for the rich Bumiputeras - all this are through the greed of those in power and those who already can afford a good lifestyle. The poor Bumiputera continue to be marginalized since they do not get the share of the plunder of NEP for not being part of UMNO. Hence, an affirmative policy to help the poor of all races need to be implemented to abolish NEP.

I will be glad to ensure the Bumiputera continue to be remembered and appreciated by ensuring their culture and heritage are maintained as enshrined in the Constitution. I am all out for scholarships for Bumiputera but no quota systems. I am all out for Sultans but argue for a fair system on Prime Minister selection based on capabilities regardless of race.

No way NEP can continue to take more and more of the country’s oil, resources and money and squander it away. We are talking about the rich, corrupt Bumiputeras (which does not refer to all). Hence, a new system to replace NEP to ensure more efficient and fair system - a meritocratic system is needed.

We need to teach people how to fish instead of giving them abundance of fishes. The NEP is basically that - giving the fishes away for free. In this case, the fishes are government contracts. And not only nowadays, the criteria is Bumiputera, but the UMNO membership number need to be shown. And they go a step further, see the Ketua Bahagian when you show the UMNO membership number, so they can collect toll gate fees (corruption).

So should corruption be abolished? Yes! Should politics and government involvement in closed tenders be abolished? Yes! Should awarding of contracts has nothing to do with UMNO and Bumiputera? Yes! Should NEP be abolished? Yes!

Should Bumiputera continue to get a special position in the country? Yes! Should the Sultans continue to be respected with special recognition while the Prime minister and cabinet be elected from the best Malaysians regardless of race? Yes! We should continue to protect the Bumiputera position and give them scholarships and set up agencies to give loans and advise. We should set up inter racial organizations where consultants from different races can teach the bumiputera how to fish, if they are asking for it. But, nope, we should not be giving them fishes. Some are asking not just for themselves. They sell the reserve fishes to others and begin to hoarde up treasures that they can not bring to heaven. Corruption begin to increase this past 35 years since the implementation of NEP.

So, Saniah - why do you like corruption? Why do you like awarding of closed contracts to only Bumiputera linked companies? Why not open tenders?

In the coming months, we will see more of a call to abolish NEP. Read about NEP and the Constitution so that we know what we are talking and talked it with facts and respect for one another.

It doesn't make a difference whether it is 19%, 30% or 45% equity. Most importantly, it must benefit the people and not only a certain group of "priviledged shoe carriers". This message should reach the masses, transcending races or ethnics.

Badawi said ""They're more accurate as these are government documents and EPU information covered 600,000 companies. That's a very big base (600,000 companies)," he said. Bumiputera equity ownership is about 18 per cent."

Number of possible flaws there. Are there really 600,000 companies registered in the country? Then we sure would not have enough auditors to audit all of them and to submit annual reports.

I believe he has taken all the companies plus all the businesses registered as sole proprietorships and partnerships.

Even if we assumed all the 600,000 were companies, the EPU will only be able to provide you the number of shares in issue and who the registered owners might be. Like Tenaga for instance could have 90% of its shareholdings owned by the government which is counted as 1 bumiputra. And the remaining 10% could be owned by 1000 bumiputras and 25,000 Chinese and the odd Indians. Now, in Badawi's reckoning he would surmmise that Tenaga is controlled by the chinese!

I believe all that the EPU has done is to take the number of shareholders in all the "600,000 companies", including the dormant ones which don't mean anything and determined that only 18.9% of the shares in issue are in the hands of bumiputras. If we wre to include the sole-proprietorships and partnerships, that would probably excacerbate the figures even more as quite certainly a lot more of these are Chinese owned.

Why the statement from Muhyiddin taking an aggressive tone filled with threats and inuendoes especially a guy who NEVER opens his mouth under any circumstances? Well, they don't want anyone with an inch of credibility to undermine their plan to rip off the wealth of the nation isn't it?

After all this 18.9% bumiputra thing was something that came out only after Badawi came into power. Firstly that would show to the Malays that Mahathir has failed to deliver. And they can always pull this one from the bag to belittle Mahathir and to also muffle the maddening noise being made by the bumiputras who did nto partake in the wealth created. Secondly, also, there are new faces out there and they too want their hands on the pie. Now how can they do that if the nation believes that the NEP target of 30% has been breached? This is why they need these numbers to justify the shenanigans that are being planned for Badawi's term in office.

This dispute is not going to end if there is no transperancy or the willingness of the Government to show the rakyat the mechanism of how the 18.9% bumiputra ownership being calculated. I think most of the UMNO leaders will jump into this issue demanding withdrawal of this report and show some muscle strength as the champion of Melayu and earn some credit for being the hero who defends it's race. Forget about the statistic as most of the rakyat does not understand them. The racism element is what interest them.

If the government is sincere, why don't have a proper discussion in a proper professional environment and study the statistic together. If ASLI is wrong, then ASLI stands to be corrected but if the government is wrong, then would the government stands to be corrected?

I agree with Quest.

Why if the government so adamant that ASLI report is flaws. Then show us the PROVE!!! Instead they have resort to the usually rhetoric and state of denies again.

It seems to me UMNO has a habit of cakap cakap only with out facts to back it up.

This is cheap politics for the lowest form.

"f the government is sincere, why don't have a proper discussion in a proper professional environment and study the statistic together. If ASLI is wrong, then ASLI stands to be corrected but if the government is wrong, then would the government stands to be corrected?"

true. but since when has our gomen be known for a serious, matured, profesionnal dialogue. every little things they heard/read which they disagree to, they will jump up and down and accuse you of all sort of things. remember, UMNO is U Must Not Object.

the way our UMNO MPs reacted to asli's findings was like they were so scared that if it is true, they'll have to do away with NEP. to them i guess the 30% will never be achieved because as they wanted the NEP to be, as dr p. ramasamy rightly pointed out, the never ending policy. *sigh*

A: Demographics of Malaysia
http://tinyurl.com/qe3kx

B: Statistics showed that the country’s population stood at 26.2 million — of whom 50.5 per cent are Bumiputera Malays, 11 per cent non-Muslim Bumiputeras (?!), 23.6 per cent Chinese, and 7.1 per cent Indians. (NSunT: 20060813)

Under orders and pressure, ASLI finally gave in and admits findings faulty,
Its president, Mirzan Mahathir, said that on re-examining the methodology and conclusions of the report, "Asli has concluded that there are shortcomings in assumption and calculation that led to conclusions that cannot be vigorously justified
Read full details from update in:
http://powerpresent.blogspot.com/2006/10/pm-abdullah-rejects-aslis-equity.html