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In need of an uncomplicated policy

NST 17/01/2006

THE Kuala Lumpur City Hall (DBKL) must come out with a clear policy of releasing Bumiputera-designated houses for sale to non-Bumiputeras once conditions have been complied.

Developers in the Klang Valley have been mystified by the frequent changes in the conditions set by DBKL.

The previous condition was that developers had to advertise in major newspapers of the sale of housing units to Bumiputeras at a discount. If the units allocated to them are not sold after three months, they are released to the public.

Then DBKL wanted developers to do roadshows at shopping centres to attract Bumiputera buyers.

Once this condition was met, DBKL insisted that another roadshow be carried out to get Bumiputeras when it was evident from the previous roadshow that they were simply not interested in housing estates with a big majority of non-Malays.

DBKL doesn’t seem to realise that roadshows and advertisement in the news media cost a lot of money.

If DBKL really wants to help Bumiputeras buy these houses, then it should ask its agency to buy all the Bumiputera units and sell them at a later date.

That way, at least developers are not burdened with the holding cost when DBKL keeps on introducing unreasonable conditions.

The Housing Ministry is partly to blame for the current policy of imposing the 30 per cent sale of houses to Bumiputeras. This is an old policy forged in the 1980s with the purpose of helping them to increase house ownership.

At no time was it the intended purpose of the policy to help rich Bumiputeras to purchase property at a discount.

Now, in the Klang Valley, discounts are given for houses costing RM300,000 and above.

These are houses that are only affordable to the rich Bumiputeras and there is no rationale for non-Bumiputeras to subsidise their purchase.

The Housing Ministry should introduce a more equitable policy like stipulating that houses costing RM100,000 and below should be sold at a discount to Bumiputeras.

That way only those who are deserving will benefit and not the rich Bumiputeras.


Richard Teo, Kota Baru


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