KUALA LUMPUR – The ongoing merger of Bank Pembangunan Malaysia Bhd, Exim Bank, and SME Bank will protect the interests of small entrepreneurs and the Bumiputera community, Prime Minister Datuk Seri Anwar Ibrahim assured.
Previously, concerns were raised that the merger would result in the banks changing their priority to be more profit-oriented than nation-building by assisting small entrepreneurs and businesses.
During a ministerial question and answer session in the Dewan Rakyat today, Anwar emphasised that loans for small and medium enterprises (SMEs) and Bumiputera will remain a top priority under the new structure, with Bank Negara Malaysia imposing conditions to ensure these key criteria are upheld.
Responding to a supplementary question from Datuk Ku Abd Rahman Ku Ismail (Kubang Pasu-PN), Anwar reaffirmed the government’s commitment to inclusivity in economic support.
“The condition regarding MSMEs and Bumiputera loans remains a key criterion and part of the policy for this merger,” he stated, making it clear that the restructuring effort will not sideline specific support for Bumiputera despite the broader scope of the merger.
Anwar, who is also finance minister, explained that the merger is part of a comprehensive approach to economic development, which aims to benefit all communities while still addressing the needs of Bumiputeras.
He noted a shift from solely focusing on equity ownership – which in the past contributed to disparities between extremely wealthy Malays and widespread poverty – toward a more flexible approach.
“Equity remains part of the agenda, but it will not be pursued as rigidly,” he clarified.
The prime minister highlighted new initiatives aimed at benefiting Bumiputeras, such as the reclaimed Bandar Malaysia project, now fully managed by government-owned entities.
This includes a dedicated 50-acre allocation for Bumiputeras, a move he described as “unprecedented” since Malaysia’s independence.
“This demonstrates that the policy has not been abandoned,” he affirmed.
He also touched on the merger’s alignment with Budget 2024’s goals of strengthening development financial institutions while promoting inclusive growth.
“The same applies to the quality of education and healthcare,” he added.
“But when I make such statements, due to our experience with racial profiling, it sometimes leads to concerns being raised by the Bumiputera, Indian or Chinese communities.
“When we drive economic growth and provide loans, it is inclusive for all. But specific support for Bumiputera will continue, primarily because of the clear policy, including Article 153, and due to the widespread disparities,” he reiterated.
The prime minister assured that the merger would maintain targeted financial support, with Bank Negara Malaysia’s conditions ensuring that SME and Bumiputera loans remain central to the new policies.
This approach, he noted, balances the goals of large-scale economic growth with the need to support vulnerable groups such as small entrepreneurs and the Bumiputera community. – October 22, 2024
