Unable to beat the racial quota system in Malaysian universities, and unable to complain about it, many Chinese left the country. Experiencing meritocracy in Singapore was exhilarating. They can hold their heads high because they got in on their own merit. They have earned their place. It doesn't matter if they should receive bursaries or preferential rates for tuition which non-Malays do not enjoy.
Financial assistance is a side issue.
Academic integrity matters so much more. Much has been said about how meritocracy builds equality of opportunities in Singapore. And these can never, ever, be taken away. In the newsroom, I have Malay Muslim colleagues, we interact at work and we do discuss race issues. This, I think is a valid concern the government has.