Govt raises 2016 KPI target for Bumiputera Empowerment Agenda

The government has decided to raise the key performance indicator (KPI) target for the Bumiputera Empowerment Agenda (BEA) for Government-Linked Investment Companies (GLICs) and top 20 Government-Linked Companies (G20) in 2016.

Prime Minister Datuk Seri Najib Razak said the enhancement is based on the success achieved since the BEA programme was introduced in 2014.

"I, together with Ministers and other members of the administration, are also involved in amending the BEA KPI for the GLICs and G20.

"Also, through the 'White Room' session with chairpersons and chief executive officers of the GLICs and G20, the commitment of the companies will be enhanced to continue implementing the BEA in them,," he told reporters after chairing a meeting of the Bumiputera Economic Council here today.

Also present was the Minister in the Prime Minister's Department Datuk Seri Abdul Wahid Omar, Minister of International Trade and Industry Datuk Seri Mustapa Mohamed and the Chief Executive Officer of Khazanah Nasional Bhd, Tan Sri Azman Mokhtar.

Najib said among the various initiatives planned includes the goal of appointing 70 new vendors, eight national and one regional champion through the vendor development programme (PPV) and setting a RM11 billion procurement goal for the Bumiputera companies.

The Prime Minister has also target for 15,000 graduates to be trained under the 1Malaysia Training Scheme(SL1M) this year.

"Khazanah Nasional, as the secretariat for the programme, will continue to streamline the mandate and the BEA implementation structure to ensure greater benefits for the Bumiputera community and the country," he said.

Najib said two years after the BEA's implementation, significant success had been achieved in seven key areas, namely the VDP, key anchor companies for the supply chain, carve-out, human capital, non-financial assets, Bumiputera equity ownership in the corporate sector and procurement.

"Five GLICs and the G20 as a whole, recorded an achievement of 91.5 per cent under the KPI in undertaking various primary initiatives for the BEA in 2015," he added.

Through the indicated seven key areas, he said GLICs and the G20 has posted an overall initiative value of RM44.7 billion for 2015 compared to RM43.8 billion in 2014.

"Among the successes of the GLICs and G20 was procurement of RM11.8 billion from Bumiputera companies, while RM2.3 billion was carved-out for Bumiputera companies.

"Also, the GLICs and G20 appointed 49 new vendors under the VDP, creating two retail chain consortiums and livestock, as well as training 9,544 graduates under SL1M.