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56-556: With the background of poor and very low participation of Bumiputeras in the private sector and industries at that time, PERNAS' principle were to: 8 subsidiaries were set up under PERNAS to achieve its objective. Malaysia National Insurance Berhad (MNI) was established in April 1970. There followed during 1971 Pernas Construction Sdn. Bhd., Pernas Engineering Sdn. Bhd., and Pernas Securities Sdn. Bhd. Then came Pernas Mining Sdn. Bhd (1973) and Pernas Edar Sdn Bhd (1974). Tengku Razaleigh Hamzah

112-602: A better deal. Malays should be assisted to attain parity with non-Malays to forge a united Malayan Nation of equals." Article 153 of the Constitution states that, It shall be the responsibility of the Yang di-Pertuan Agong to safeguard the special position of the Malays and natives of any of the States of Sabah and Sarawak and the legitimate interests of other communities in accordance with

168-652: A bumiputera ethnic group in Malaysia was coined by Abdul Razak Hussein . It recognised the "special position" of the Malays provided in the Constitution of Malaysia , in particular Article 153 . However, the constitution does not use the term bumiputera; it defines only "Malay" and " aboriginal peoples " (Article 160(2)), "natives" of Sarawak (161A(6)(a)), and "natives" of Sabah (Article 161A(6) (b)). Definitions of bumiputera in public use vary among different institutions, organisations, and government departments and agencies. In

224-614: A prominent student leader of the Malay Association of Great Britain, and formed the student association Malayan Forum . After his studies were interrupted in 1942 because of World War II , Abdul Razak returned to Kuantan , Pahang. There, he met his former colleague from the Malay Administrative Service, Yeop Mahidin , and expressed his interest in joining the Malay Regiment (now Royal Malay Regiment ). Mahidin, who

280-516: A prospect of initiating a business relationship. During the visit to China, Razaleigh managed to meet the then China's Premier Zhou En Lai . Total trade with China stood at a mere RM105.6 million in 1971, but ballooned to RM1.6 billion in 1980. Since then the contact between the two countries has been on the increase as evidenced by the number of visits of trade, medical and sports delegations to China. Bumiputera (Malaysia) Bumiputera or bumiputra ( Jawi : بوميڤوترا ‎ , Native)

336-863: A seat in Malaya's first general elections in July 1955 and was appointed as the Education Minister . He was instrumental in the drafting of the Razak Report which formed the basis of the Malayan education system. Tun Razak was also a key member of the February 1956 mission to London to seek the independence of Malaya from the British. After the general elections in 1959, he became the Minister of Rural Development in addition to holding

392-541: Is a commonly-held belief that the public university entry requirements are easier for matriculation students and disproportionately difficult for STPM students. Quotas also exist for Public Services Department (JPA) scholarships, full scholarships offered to students to study in leading universities worldwide. These scholarships are given on the basis of SPM ( Sijil Pelajaran Malaysia , the equivalent of O-Levels ) results, ethnic group, and certain quotas. The JPA scholars are sent to selected pre-university programmes offered by

448-519: Is a failure of economic, social and educational policies, you come back and say, oh, these wicked Chinese, Indian and others opposing Malay rights. They don't oppose Malay rights. They, the Malay, have the right as Malaysian citizens to go up to the level of training and education that the more competitive societies, the non-Malay society, has produced. That is what must be done, isn't it? Not to feed them with this obscurantist doctrine that all they have got to do

504-633: Is a term used in Malaysia to describe Malays , the Orang Asli of Peninsular Malaysia , and various indigenous peoples of East Malaysia . The term is sometimes controversial. It is used similarly in the Malay world , Indonesia , and Brunei . The term is derived from the Sanskrit language which was later absorbed into the classical Malay word bhumiputra ( Sanskrit : भूमिपुत्र , romanized :  bhū́miputra ). This can be translated literally as "son of

560-594: Is racial-based and not deprivation-based. For instance, all bumiputera, regardless of their financial standing, are entitled 7 percent discount on houses or property, including luxurious units; whilst a low-income non-bumiputra receives no such financial assistance. Other preferential policies include quotas for the following: admission to government educational institutions, qualification for public scholarships, marking of universities exam papers, special bumiputera-only classes prior to university's end of term exams, for positions in government, and ownership of businesses. Most of

616-495: Is subject to bumiputera hiring preferences. The NEM [New Economic Model] proposes reforming ethnic preferences in business ownership and social safety net programs. Some conservative bumiputera groups have voiced strong opposition to any significant changes to the extensive preferences." Examples of such policies include: As a result of these policies, many bumiputera with good connections quickly became millionaires. According to Rafidah Aziz , former Minister of Trade and Industry,

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672-433: Is that the Orang Asli of Peninsular Malaysia are not considered bumiputera under the federal constitution. As their settlement predates that of the Malays, it is considered by many, that bumiputera is about the promotion one religion over another, especially since Orang Asli are much worse off than Muslim Malays. Others argue that the Orang Asli are in fact considered bumiputera. On 1 March 2009, Nik Abdul Aziz Nik Mat ,

728-741: Is the first of two children to Yang Dihormati (YDH) Orang Kaya Indera Shahbandar ke-9, Dato' Hussein Awang bin Mohd Taib (1898–1950) and Datin Hajah Teh Fatimah bt Daud (1906–1968). An aristocratic descendant of Orang Kaya Indera Shahbandar , Abdul Razak studied at the Malay College Kuala Kangsar . After joining the Malay Administrative Service in 1938, he was awarded a scholarship to study at Raffles College in Singapore in 1940. His studies at

784-546: Is to get Malay rights for the few special Malays and their problem has been resolved." At the 2004 annual general assembly of the United Malays National Organisation , which is the largest member of the governing coalition, deputy chair Badruddin Amiruldin cautioned against questioning the bumiputera's special rights, which met with approval from the delegates: "Let no one from the other races ever question

840-462: Is unlikely, especially in view of the constitutional issues involved, although successive administrations since Mahathir have attempted to reform the system of government aid for the bumiputera. Some bumiputera groups believe further affirmative action is necessary. Parliament began to use the term bumiputra in 1965. Following debate of the act to create the Majlis Amanah Rakyat (MARA),

896-535: The Malay language and English language. Razak understood that power resided in the Malay community and that for this power to be wielded effectively, the elite among the Malays had to be an elite determined by ability, aptitude and commitment to the nation as a whole. Class, birth and money were secondary in his calculations. As a consequence of this initiative, the then young leaders of mixed heritage in UMNO, such as Mahathir Mohamad , were drafted into higher echelons of

952-549: The Malaysian New Economic Policy (NEP), a program aimed at reducing the socioeconomic disparity between ethnic communities, particulary those of the ethnic Malay and Chinese . He also oversaw a realignment of Malaysian foreign policy away from his predecessor's pro-West and anti-Communist attitude and towards neutrality, with the country becoming a member of the Non-Aligned Movement in 1970. Abdul Razak

1008-543: The "second generation" of Malay politicians saw the need to tackle vigorously the economic and social disparities which fuelled racial antagonisms and violence. The MNEP set two basics goals – to reduce and eventually eradicate poverty, and to reduce and eventually eradicate identification of economic function with race. Abdul Razak was diagnosed with leukemia but kept it secret since 1969. Abdul Razak died in office on 14 January 1976 while seeking medical treatment in London. He

1064-812: The Malay population received preferential treatment compared to other ethnic groups, it was not fully trusted by the British to oppose the Japanese occupation . Nevertheless, the Askar Wataniah Pahang with its 200 members were absorbed into the Special Operations Executive (SOE) and organised under Force 136 . Force 136 Pahang's missions' continuous success made the Japanese Administration begin to suspect that there were informants inside their administration. Force 136 Pahang quickly set up an extraction mission to recover their agent, Razak, who

1120-594: The Malaysian Higher Education Ministry defined bumiputra as follows, depending on the region of origin of the individual applicant: In addition to the interpretation given above, a broader definition of bumiputera include groups such as native Indonesians , Malaysian Siamese , Muslim Indian Malaysians, Peranakan and the Kristang people of Portuguese-Eurasian descent. Most of these encompass communities that were established in southeast Asia prior to

1176-451: The Minister of Higher Education, Mustapa Mohamad, stated that he wanted public universities to recruit more non-bumiputera academic staff to "strive for world-class institutions", which may have signaled a move toward less racial discrimination in academia. However this does not affect entry into universities, which is still designed to restrict other races access to higher education in favour of

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1232-518: The bumiputera. The manufacturing sector is exempted from the Foreign Investment Committee (FIC) Guidelines and the mandatory 30% Bumiputera equity and restrictions in market entry have been removed for all (manufacturing) sub-sectors. Malaysia requires citizens to carry a national identification card called MyKad . Smart Cards identify citizens as Muslims or non-Muslims. The national identification card does not specify whether or not

1288-675: The college ceased with the onset of the Second World War . During the war he helped organise the Wataniah resistance movement in Pahang . After World War II , Abdul Razak left for Britain in 1948 to study law. In 1950, he received a law degree and qualified as a barrister at Lincoln's Inn in London. During his student days in England, Abdul Razak was a member of the British Labour Party and

1344-400: The commercial sector was taken over by wealthy Chinese merchants. The Communities Liaison Committee (CLC), comprising leading politicians from different racial backgrounds, supported the promotion of economic equality for the Malays, conditional on political equality for the non-Malays. CLC member E.E.C. Thuraisingham later said, "I and others believed that the backward Malays should be given

1400-475: The government founded an agency to preserve bumiputera interests. In July 2017, Prime Minister Najib Razak said that the government would consider the request of the Muslim Indian community to be recognized as bumiputera, in what is seen as a move to woo voters in the lead-up to the upcoming general election . Certain but not all pro-bumiputera policies exist as affirmative action for bumiputera, for NEP

1456-403: The government – from there, they apply to universities. In the 1965 session of Parliament , Singapore 's Prime Minister Lee Kuan Yew (who was also a member of that Parliament) questioned the implementation of Malay rights as proposed. Lee asked, "How does the Malay in the kampung find his way out into this modernised civil society? By becoming servants of the 0.3 per cent who would have

1512-472: The heading "Ethnic Preferences", part of a paragraph describes the reality of the bumiputera policy as follows: "Many of the preference policies are opaque, with details of implementation largely left to the various ministries and civil servants within those ministries. Policies and practices vary greatly. Some practices are explicit and contained in law or regulation, while others are informal, leaving much ambiguity for potential investors. The civil service itself

1568-645: The holder is a bumiputera. Abdul Razak Hussein Abdul Razak bin Dato' Haji Hussein ( Jawi : عبد الرزاق بن حسين ; 11 March 1922 – 14 January 1976) was a Malaysian lawyer and politician who served as the second prime minister of Malaysia from 1970 until his death in 1976. He also served as the first deputy prime minister of Malaysia from 1957 to 1970. He is referred to as the Father of Development ( Bapa Pembangunan ). During his term as prime minister, Abdul Razak launched

1624-502: The land" or "son of the soil". In Indonesia , this term is known as " Pribumi "; the latter is also used in Malaysia but in a more generic sense to mean "indigenous peoples". In the 1970s, the Malaysian government implemented policies designed to favour bumiputera (including affirmative action in public education and in the public sector) in order to elevate the socioeconomic status of the economically disadvantaged bumiputera community. It

1680-568: The largest shareholder of both. It failed when Singapore accused Haw Par of financial irregularities and later jailed a senior executive and the head, Donald Watson, fled to Ireland. But it proved a short-lived setback for Tengku Razaleigh Hamzah . Within two years, a share and proxy battle orchestrated by merchant bank Rothschild – which was also a part owner of Bumiputera Merchant Bankers – brought Sime Darby under Malaysian control and its headquarters shifted to Kuala Lumpur. Control of London Tin Company

1736-589: The law, and "Except as expressly authorised by this Constitution, there shall be no discrimination against citizens on the ground only of religion, race, descent or place of birth in any law or in the appointment to any office or employment under a public authority or in the administration of any law relating to the acquisition, holding or disposition of property or the establishing or carrying on of any trade, business, profession, vocation or employment." Article 153 itself expressly forbids particular forms of discrimination; clause 5 states that "All persons of whatever race in

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1792-487: The money to hire them to clean their shoe, open their motorcar doors?" and "How does telling a Malay bus driver that he should support the party of his Malay director (UMNO) and the Chinese bus conductor to join another party of his Chinese director (MCA) – how does that improve the standards of the Malay bus driver and the Chinese bus conductor who are both workers in the same company?" Lee closed with "Meanwhile, whenever there

1848-557: The natives of the mainland of Malaya and the natives of the Borneo States". He later qualified that the benefits under Article 153 were for "the natives of Malaysia…who are less advanced and less able to compete with these other Malaysians". In the book Buku Panduan Kemasukan ke Institusi Pengajian Tinggi Awam, Program Pengajian Lepasan SPM/Setaraf Sesi Akademik 2007/2008 (Guidebook for entry into public higher learning institutions for SPM/equivalent graduates for academic year 2007/2008),

1904-504: The parliamentary debate of 13 November 1965, the Prime Minister, Tunku Abdul Rahman , was asked by Lim Chong Eu if there is a "legal and constitutional definition of the term "Bumiputera", and whether the children of Malaysian citizens who were born after 31 August 1963, will also be entitled to all the rights of "Bumiputera". To this, Tunku replied: "Mr Speaker, Sir, the term 'Bumiputera'...has no legal meaning except in so far as to denote

1960-404: The period of British colonial rule which saw large-scale immigration from China . Others favour a definition encompassing all children of bumiputera. In Sarawak, there were cases of people with one bumiputera parent and one non-bumiputera parent being dismissed as non-bumiputera. However, this law was changed in 2022. At the time of Malaya's independence from British colonial rule in 1957,

2016-516: The policies were established in the Malaysian New Economic Policy (NEP) period. Many policies focus on trying to achieve a bumiputerashare of corporate equity, comprising at least 30% of the total. Ismail Abdul Rahman proposed this target after the government was unable to agree on a suitable policy goal. In a report titled 2012 Investment Climate Statement – Malaysia published by the Bureau of Economic and Business Affairs (US Department of State), under

2072-521: The policy was to create "Towering Malays". In 2005 she gave a speech that stated: "If there are young Malay entrepreneurs whose companies are successful, then we appreciate their success, we want Towering Malays of glokal (global and local) standard". She also said that the policy of Approved Permits (APs) had produced many bumiputera entrepreneurs in the automotive industry. Since 2000, the government has discussed phasing out certain affirmative action programs and reinstating " meritocracy ". In 2003 it began

2128-603: The political establishment. In 1967 he was awarded the Ramon Magsaysay Award for community leadership. After the 13 May Incident 1969, Tunku Abdul Rahman Putra Al-Haj received many criticisms from various parties for his inability to deal with racial issues. This led to his resignation as prime minister. Tun Abdul Razak then imposed a State of Emergency, ruling by decree as the National Operations Council until 1970. In September 1970, Tunku Abdul Rahman

2184-451: The population included many first- or second-generation immigrants who had come to fill manpower needs as indentured labourers , among rich Chinese merchants and settlers who brought their wealth and investment into Malaysia. Chinese immigrants, who typically settled in urban areas, played a significant role in the commercial sector after the Indians left the country to return to India, much of

2240-656: The portfolios of Deputy Prime Minister and Minister of Defence , which he held from 1957. His achievements include formulating the development policy known as the Red Book. At the time of Separation of Singapore from the Federation of Malaysia in 1965, Tun Razak realised that UMNO needed more young leaders in the party. Faced with, amongst other things Lee Kuan Yew 's considerable oratorical skills, Razak wanted young Malay leaders – grounded in their own faith and culture – who would be able to speak and if necessary debate both in

2296-438: The provisions of this Article. Article 160 defines a Malay as being one who "professes the religion of Islam , habitually speaks the Malay language, conforms to Malay customs and is the child of at least one parent who was born within the Federation of Malaysia before independence of Malaya on 31 August 1957, or the issue of such a person." Article 8 of the Constitution, states that all Malaysian citizens shall be equal under

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2352-492: The rights of Malays on this land. Don't question the religion because this is my right on this land." In 2004, Mohd. Johari Baharum, parliamentary secretary of the Prime Minister's Department, stated that the PSD scholarships would remain quota based. He added that there were no plans to convert this to a merit based system, and that the total value of the PSD scholarship since 1996 was 2.4 billion ringgit . Another controversial aspect

2408-526: The same grade in the service of the Federation shall, subject to the terms and conditions of their employment, be treated impartially," while clause 9 states: "Nothing in this Article shall empower Parliament to restrict business or trade solely for the purpose of reservations for Malays." The concept of the bumiputera's special position has been disputed. The Reid Commission , which drafted the Constitution, initially proposed that Article 153 expire after 15 years unless renewed by Parliament . This qualification

2464-580: The same time as a bridge for the Japanese to gain the trust of local Malays. Using his privileges as an aristocrat, Razak started networking with the Imperial Japanese Forces while maintaining his connection with Yeop Mahidin. His role as an informant inside the Japanese Administration was only known to a few. Because of this, Razak was labelled as a traitor by the rest of the Wataniah Pahang . As

2520-509: The special position was "a slur on the ability of the Malays." In 1970, however, one member of the Cabinet said that Malay special rights would remain for "hundreds of years to come." In the 1970s, the government implemented the New Economic Policy (NEP), designed to be a more aggressive form of affirmative action for the bumiputera than Article 153. Article 153 provides specifically for

2576-769: The spiritual leader of the opposition Pan-Malaysian Islamic Party stated that the term bumiputera is racist and the policy prevented other races from receiving government aid. Nik Aziz's remarks were made in response to the criticisms and threats made by UMNO against Democratic Action Party 's Boo Cheng Hau , the opposition leader in Johor when Boo was reported to have compared "bumiputeraism" with state apartheid . On 1 February 2015, Swiss academic Tariq Ramadan reflected on how non-Muslims have been treated as second class citizens. He stated, "I'm sorry but some of your fellow citizens in this country who are not Muslims are facing this discrimination, they are facing injustices." In 2006,

2632-462: The system of "Malaysian model meritocracy" for university admission. Admission to public universities was not based upon a common examination such as the SAT or A-Levels , but rather upon a two parallel systems of either a one-year matriculation course or a two-year STPM ( Malaysian Higher School Certificate ) programme. Bumiputera compose an overwhelming majority of entrants to the matriculation programme. It

2688-584: The use of quotas in the granting of scholarships, positions in the civil service, and business licences, as well as native reservations of land. Policies under the rubric of the NEP include subsidies for real estate purchases, quotas for public equity shares, and general subsidies to bumiputera businesses. Former Prime Minister Abdullah Ahmad Badawi and his predecessor Mahathir Mohamad have both suggested that Malays should depend less on government assistance. Many observers believe full abolition of bumiputera privileges

2744-450: Was acquired the same year. In another coup in 1979, Malaysian money made a “dawn raid” on British plantation giant, Kumpulan Guthrie Bhd, which wrenched the company from British control; most of the other British owned plantations soon followed. Among the major corporate takeover exercise and formation of new businesses during Razaleigh's stewardship as Pernas Chairman were In 1971, Razaleigh's led trade delegation went to China to initiate

2800-477: Was also the figure responsible for setting up Barisan Nasional (BN), which held power uninterrupted from its inception in 1974 to 2018. His eldest son, Najib Razak , became the sixth prime minister in 2009; Najib is the first prime minister of Malaysia to be a descendant of a former prime minister. Born in Kampung Pulau Keladi, a village located northwest of Pekan, Pahang on 11 March 1922, Abdul Razak

2856-645: Was also the founder of Askar Wataniah Pahang ('Pahang State Territorial Army'; precursor of the Rejimen Askar Wataniah ), recruited Razak into his new guerrilla force. Upon the completion of his training, Razak was instructed to join the Japanese Malayan Civil Service as an agent and informant . Razak, as an aristocrat and son of a respected Malay leader in Pahang, was posted to his home state of Pahang as an assistant to District Officer and at

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2912-530: Was an effort to defuse interethnic tensions following the 13 May Incident in 1969 and to placate the Malay majority through granting them a privileged status over Malaysian Chinese. Originally intended as a temporary measure, these policies are still in effect. They have been described as racially discriminatory. Although the policies have succeeded in creating a significant urban Malay and Native Bornean middle class, they have been less effective in eradicating poverty among rural communities. The concept of

2968-701: Was in the thick of what became known as the Haw Par imbroglio of the mid-1970s, working with the Singapore-based Haw Par Brothers International Ltd, then an offshoot of the empire of British wheeler-dealer Jim Slater, to acquire control of London Tin Company, the British-controlled tin conglomerate, and the Sime Darby plantations conglomerate. This was to be achieved through a complex series of transactions by which PERNAS would end up as

3024-614: Was still unknown to many of its members. Upon his return from the United Kingdom, in 1950, Tun Razak joined the Malayan Civil Service . Owing to his political calibre, he became the youth chief for United Malays National Organisation (UMNO). Two years later, he worked as the Assistant State Secretary of Pahang and in February 1955, at just 33 years of age, became Pahang's Chief Minister . Razak stood in and won

3080-438: Was struck from the final draft. After the 13 May Incident in 1969, representatives within the government argued over whether the special position of the bumiputera should have a sunset clause . Ismail Abdul Rahman argued that "the question be left to the Malays themselves because ... as more and more Malays became educated and gained self-confidence, they themselves would do away with this 'special position'." Ismail believed

3136-499: Was succeeded by Tun Abdul Razak as the Prime Minister of Malaysia. Tun Razak set up the Barisan Nasional or National Front on 1 January 1973 to replace the ruling Alliance Party . He increased the membership of its parties and coalitions in an effort to establish "Ketahanan Nasional" (National Strength) through political stability. Tun Razak is also renowned for launching the Malaysian New Economic Policy (MNEP) in 1971. He and

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