PUTRAJAYA: The Ministry of Entrepreneur Development and Cooperatives (Medac) is allocating RM100 million for the ‘First Close, Last To Open’ (FCLO) programme.
The FCLO is a recovery programme for micro-entrepreneurs in non-essential business and services who have been affected by the Covid-19 pandemic.
Minister Datuk Seri Dr Wan Junaidi Tuanku Jaafar said around 10,000 micro-entrepreneurs are expected to benefit from the FCLO programme — a collaboration between Medac and its agencies, the National Entrepreneur Group Economic Fund (Tekun) and the National Institute of Entrepreneurship (Insken).
Apart from offering funding of up to RM10,000 per participant, the programme also provides end-to-end solution for participants such as structured advisory and consulting services, as well as guidance, training and monitoring, he told a virtual press conference today.
The minister said the programme would give priority to businesses such as maternity care, book and stationery stores, tuition centres, event management, catering, car wash and tailoring.
“If we do not help them, there is a possibility that four million Malaysians will lose their jobs,” he said.
The RM100 million allocation is provided to Tekun under the National People’s Well-Being and Economic Recovery Package (Pemulih) announced by Prime Minister Tan Sri Muhyiddin Yassin yesterday to help micro-enterprises in their business recovery.
According to Wan Junaidi, a survey by Medac revealed that more than 80 per cent of FCLO micro-entrepreneurs are from the B40 income group, and many of them do not have adequate savings and no employee benefits.
“More than 60 per cent do not have insurance and do not have any protection plan and safety net in case they lose their jobs,” he said. – Bernama