Housing discount for Indian Muslims won't affect Bumiputera quota

New Straits Times

07-06-2025

GEORGE TOWN: The offer of a five per cent discount for first-time homebuyers from the Indian Muslim community in Penang does not involve units under the Bumiputera quota and does not affect any existing home ownership policies, said state executive councillor Datuk Seri S. Sundarajoo.
Sundarajoo, who is in charge of housing and environment, said the initiative is part of efforts to expand home ownership opportunities in the open market, particularly for groups with low participation rates, without affecting the rights of other communities.
"This discount is being offered as a form of corporate social responsibility by developers and does not involve any financial support or subsidy from the state government.
"The state government would like to emphasise that all existing housing policies, including the Bumiputera quota and various incentives for first-time homebuyers, remain intact and will continue to be enforced," he said in a statement today in response to criticism from several quarters regarding the discount.
Last Thursday, Sundarajoo announced a five per cent discount incentive for the Indian Muslim community for the purchase of residential and commercial units under the Madani Home Ownership Campaign (MOC), which is effective from June 1, 2025 to May 31, 2026.
Other initiatives include the introduction of a special housing category, Rumah MutiaraKu Type D (RMKu D), with a maximum price of RM400,000, and a reduction in contribution rates for developers who do not physically build RMKu Type A or B units — from RM120,000 to RM100,000 in areas under the Penang Island City Council, and from RM120,000 to RM72,500 under the Seberang Perai City Council.
Sundarajoo said the five per cent discount is an additional measure complementing various existing programmes already in place to meet housing needs in the state.
He said that it is an intervention to help reinvigorate the property sector following discussions and consensus among housing industry stakeholders, taking into account the growing concern over the oversupply of non-affordable units in Penang.
"According to the Q4 2024 Penang State Property Market Report issued by the National Property Information Centre, 2,796 residential units were identified as overhang, involving various types of properties across the state," he said.
In addition to improving housing accessibility, he said the initiative also aims to revitalise the property sector affected by rising construction and labour costs, in line with the state government's aspiration to achieve more balanced, sustainable and inclusive development in Penang.