NOMINEE shareholders will be required to reveal who their ultimate shareholders are, said Mustapa Mohamed.

“One of the problems concerning raising Bumiputera equity is nominees and companies that do not disclose the identities of their shareholders.

“As such, the government will amend the Companies Act to ensure shareholders state who their ultimate shareholders are so that the government knows who the real owners are,” the Minister in the Prime Minister’s Department (Economic Affairs) told Dewan Rakyat during the government’s winding-up session on the Supply Bill 2022 debate today.

He said nominee shareholdings in Malaysia were high at 12%.

Another reason why Bumiputera equity had not reached the government’s target of 30% is the sale of Bumiputera assets to non-Bumiputera, said Mustapa.

According to the Jeli MP, as at 2019, Bumiputera equity was at 17.2%.

He said that the government will still allow foreign shareholdings of manufacturing companies to remain at 100% to encourage foreign investments.

“Foreign companies that invest in Penang, Johor and Klang Valley will be allowed to maintain full ownership or 100% ownership of the factories,” said Mustapa.

As such, foreign equity in Malaysia is at 4%, he added.

Mustapa was explaining why the government had difficulties in raising Bumiputera equity to 30%. – November 15, 2021.