Bumi programmes must meet end goals, says Teraju

 The agency says such programmes can be considered a success if they help the community improve their livelihood.

Initiatives under the Bumiputera agenda should be assessed based on their impact on the economy, says Teraju senior director Nik Nazree Nik Abdul Rahman.

PETALING JAYA:

 The success of programmes supporting Bumiputera enterprises should also be gauged by whether the initiatives accomplish their end goals, including helping the community improve their livelihood, a government agency said.

Nik Nazree Nik Abdul Rahman of the Bumiputera Agenda Steering Unit (Teraju) said such initiatives should also be assessed based on their impact on the economy.

He said these are among the questions the Bumiputera Economic Transformation Plan 2035, or Putera35, intends to answer.

Nik Nazree said there were three themes under the 10-year plan, launched in 2024, namely participation, ownership and control.

When it comes to participation, Nik Nazree said, one of the objectives is to ensure graduates become part of the labour force, while ownership revolves around Bumiputera owning businesses.

Control, on the other hand, would see Bumiputeras become part of the supply chain, citing Ramly Burger as an example.

“The stark difference between the previous plans to develop Bumiputera entrepreneurs and the current plan is that it is not looking only at participation.

“From 1971 up to the 21st century, it has mainly been about participation, trying to push Bumiputera SMEs or companies to take part in the economy. But what is the outcome for the Bumiputera companies? That’s the question,” Nik Nazree, who is Teraju’s strategic services division senior director, said.

He was commenting on a call, by a think tank, for clearer performance benchmarks and stronger coordination in programmes supporting Bumiputera enterprises, saying it is still difficult to determine whether such initiatives are producing competitive businesses.

Earlier this month, the Institute for Democracy and Economic Affairs (Ideas) said many government programmes measured success through participation rates, outreach and funds disbursed, rather than whether businesses grew, exported products, or were integrated into wider supply chains.

Ideas said trade-related assistance for Bumiputera SMEs, including loans, grants, training, certification assistance, mentoring and trade promotion, was spread across multiple ministries and agencies with different objectives.

It said support is delivered through various programmes across ministries and agencies, which risks duplication and inconsistent implementation.

Commenting on the risks of duplication due to support being delivered across ministries and agencies, Nik Nazree explained that certain ministries focus on specific areas.

However, there are issues that cut across multiple ministries, he said.

For instance, Nik Nazree said, the investment, trade and industry ministry (Miti), as well as the entrepreneur and cooperatives development ministry, have specific programmes that could benefit an entrepreneur in the trading business.

“So Miti will have programmes for trading purposes for companies, while the entrepreneurship development ministry will have programmes to help develop the entrepreneur.

“At a glance, it may seem that there is overlap, but you need to understand the ministry’s scope,” Nik Nazree added. - FMT