Higher education to be fully-liberalised by 2015

The higher education sector will be fully-liberalised by 2015, said Higher Education Ministry deputy director-general Siti Hamisah Tapsir.

Speaking at the Perdana Foundation Leadership CEO Forum today, she said this will mean that private institutions can be fully owned by foreign investors.

"I believe that when this happens, we will also do away with the 30 percent bumiputera equity requirement," she said.    

At present, the industry allows 51 percent foreign equity.

"The Malaysian Investment Development Authority (Mida) wanted us to fully liberalise this year but we requested another five years, as we want our private colleges to be able to also move abroad," she said.

The services sub-sector is one of 128 poised to be liberalised under the 10th Malaysia Plan (10MP) announced in June. The sub-sectors will allow at least 70 percent Asean equity ownership by 2015.

In addition, the Economic Planning Unit of the Prime Minister’s Department confirmed that financial and air transportation services will be further liberalised by the same year.

Incentives for skilled workers

Fellow panellist and Mida chairperson Sulaiman Mahbob said further liberalisation of regulation should also be extended to foreign skilled workers to ease the growing brain drain.

"We have an increasing number of foreign unskilled workers coming in but the (number of) skilled workers is dropping,” he said.

"We should make it easier for (skilled workers) to come in because it would also mean that they can train our workers and attract consumers here. If we attract a top surgeon, people will come for health services because of this.”

Under the 10MP, the government will issue open-ended visas for workers earning a salary of at least RM8,000 per month.

Other restrictions will also be eased, including allowing purchase of homes costing RM250,000 and above, and flexibility to change jobs.

Skilled workers will be allowed  to bring in foreign maids, while spouses will be allowed to work.