Malaysian government's Malay policy failure

 

(PressTV) - It was designed to close the vast economic gap between the Malays and non-Malays, especially Chinese.

 

Watch video at: http://www.presstv.ir/detail/2012/11/07/270955/malaysian-governments-malay-policy-failure/  

When the New Economic Policy was introduced in 1970, the majority Malays only controlled 3% of the economy. 

The policy gave Malays a host of special privileges, including in getting government contracts, lower interest rate loans and places in university, aiming to increase their economic share to 30%. 

But critics say most of the benefits have just gone to big companies close to the ruling party. 

The organisation representing businesses owned by Malays who are also known as Bumiputera says despite a huge increase in membership, Malay businesses are still struggling. 

The government says the policy has narrowed the economic gap, reduced poverty among Malays, created a sizeable middle class and prevented tensions between Malays and non-Malays from boiling over. 

Prime Minister Najib Razak has acknowledged that the implementation of the policy has been flawed. 

Najib has floated the idea of moving to a system of helping those most in need regardless of their race. But he is facing resistance from conservatives in his party who still want to maintain all the privileges for the Malays.