PETALING JAYA: The Asian Strategy and Leadership Institute's Centre for Public Policy Studies (CPPS) would welcome the opportunity to discuss its findings on Bumiputra equity ownership with other non-partisan bodies and individuals.

CPPS director Dr Lim Teck Ghee said in a statement today (Sept 28, 2006), the centre also hoped that the findings of the "Corporate Equity Distribution: Past Trends and Future Policy"study, and the larger report with chapters on marginalised Malaysian communities, would generate thoughtful and rational discussion on the country's social and economic development strategies.

The "Corporate Equity Distribution" report, which was based on primary and secondary research, found that Bumiputra corporate share may be as high as 45%, rather than the official 2004 estimate of 18.9%.

Several individuals have disputed the validity of the report's findings, including Malay Chamber of Commerce Malaysia treasurer general Zainol Abidin Abdul Hamid and Universiti Putra Malaysia economics lecturer Judhiana Abdul Ghani.

Zainol said the CPPS report was inaccurate because it contradicted official statistics, while Judhiana said even if the target of 30% Bumiputra equity has already been achieved by the New Economic Policy, ownership is concentrated in the hands of a small group.

Lim said the study was undertaken by a multi-racial group of scholars and consultants as part of work in connection with the Ninth Malaysia Plan.

"It was submitted to the Prime Minister, Cabinet ministers and other government leaders in February (2006) as part of a bigger report which included findings of studies on education, the civil service, low income communities and the Penans," he said.

He said the report was also made available to various local political, social and economic bodies.

"The study found that the official methodology for computation of corporate equity distribution - first used in the 1970s and continued till today - is narrowly-based, unrealistic and has resulted in an underestimation of the true volume and value of Bumiputra equity," he added.

Lim said it was also clear that selective patronage has resulted in "serious intra-ethnic Malay cleavages" that also undermined social cohesion and economic development.

He added that the study also found the emergence of inter-ethnic business partnerships, most of which started out as small and medium enterprises (SMEs), which augurs well for the promotion of national unity in Malaysia.