Latest economic incentives nothing to shout about, say SMEs
KUCHING: The latest Pemerkasa Plus package offered by Putrajaya will have limited impact on the economy as there is only RM5 billion of direct fiscal injection in cash assistance compared to the previous package of RM11 billion, said SME Association of Sarawak. In a statement, the association said the amount is insufficient to restore the damage implicated by the Covid-19 pandemic, despite it giving some relief to small and medium enterprises (SMEs) from the impact of the full lockdown. “There is nothing new as most of the measures had been announced previously. It is just a matter of increasing the allocation amount and extending the current aid to a certain period. “Nonetheless, we still welcome the Wages Subsidy Programme (WSP) for one month, the three-month automatic loan moratorium or 50 percent reduction in loan instalment repayment as well as an additional RM2 billion allocated to the Targeted Relief and Recovery Facilities (TRRF) by Bank Negara Malaysia (BNM) for SMEs,” it said today (June 2). It also suggested the extension of WSP to three months instead of just one month, which the association deemed as “insignificant”. “Most SMEs are paying full salary to their employees and the one month subsidy only applies to remuneration of RM4,000 and below. As most specialised groups like engineers and organisation’s management level are above the classified pay segment, most SMEs are facing difficulties in maintaining them and laying them off is the only regretful option. “Furthermore, most of the SMEs which are not permitted to operate even before the movement control order (MCO) are significantly having it worse with no income for a much longer period,” it added. The association said the cash handouts to B40 and SMEs will have a high impact on the consumption market as the opening of business sectors after the MCO will ensure a rebound of the economy. “Contrarily, the government should provide more assistance to the M40 group as this group is also affected by the MCO. According to a survey, most M40s will be downgraded to B40s in this round of lockdown.” Nevertheless, the association believed that the nation’s economy is on a recovery path despite the limited stimulus package and downside of the full lockdown. “GDP growth projection shall maintain at slightly more than 4 percent for 2021. Hence, we shall all work together to contain the virus to make sure there is no further MCO in the future, while the government is accelerating the immunisation programme. That is the best bet to revive the economy,” it added.
Pemerkasa Plus incentives temporary relief, says economic analyst
KUCHING: The measures implemented under the recently announced Pemerkasa Plus stimulus package will help small and medium enterprises (SMEs) and businesses to weather the economic storm and provide short-term relief, said Fellow at Academy of Sciences Malaysia Datuk Dr Madeline Berma. The economic analyst said the measures, such as wage subsidies, loan moratoriums, cash handouts, and financial facilities, would help SMEs and businesses sustain themselves and stay afloat, as well as retain their workers. “The one-off financial support targeted at tour guides, taxi drivers, school bus drivers, and e-hailing drivers will help those who are affected heavily by the lockdown,” she said. Nevertheless, she pointed out that these financial supports would only provide temporary relief, not long-term solutions. At the same time, she said the government should adopt a targeted approach and provide support to those in the M40 category whose businesses had to close down during lockdown, including spa operators, clothing stores, and dine-in restaurants. “The Malaysian economy is on the road to recovery, but the pace is slow,” said Madeline. She said the numerous stimulus packages provided since the onset of the Covid-19 pandemic had put a heavy strain on the government’s financial situation. “There is still a relatively high unemployment rate and the tourism sector is still experiencing an acute downturn,” she said.
Government extended Wage Subsidy Programme due to its effectiveness
KUALA LUMPUR: The successful implementation of the Wage Subsidy Programme by the Social Security Organisation (Socso) in rescuing 4.7 million workers and 498,882 employers previously had prompted the government to extend it for another month through Pemerkasa Plus, says Human Resources Minister Datuk Seri M Saravanan. He said the effort indirectly provided relief to the […]
Housing developers welcome Fed’s Pemerkasa Plus incentives
KUCHING: The Pemerkasa Plus stimulus package announced by Putrajaya yesterday (May 31) will complement Sarawak’s Bantuan Khas Sarawakku Sayang (BKSS) 6.0. Sarawak Housing and Real Estate Developers’ Association (Sheda) Kuching branch chairman Datuk Sim Kiang Chiok said that as expected, under Pemerkasa Plus, there will be additional cash handouts for the B40 and M40, including […]
Wan Junaidi endorses Pemerkasa Plus incentives for businessmen
KUCHING: Entrepreneur and Cooperative Development Minister Datuk Seri Dr Wan Junaidi Tuanku Jaafar has given the thumbs-up to the Pemerkasa Plus stimulus package incentives for entrepreneurs. He said his ministry fully supported the incentives which included grants and funding amounting to RM11.5 billion that would greatly benefit entrepreneurs. “This initiative announced is the right step […]
Fast track vaccinations and extend moratoriums
KUALA LUMPUR: The Malaysian Association of Tour and Travel Agents (Matta) gave the thumbs-up to several of the Pemerkasa Plus assistance initiatives announced by Prime Minister Tan Sri Muhyiddin Yassin on Monday (May 31) for tourism players to stay afloat during the Covid-19 pandemic. Association president Datuk Tan Kok Liang singled out the push for […]
Pemerkasa Plus aid to help people tide over more restrictive MCO
KUALA LUMPUR: Prime Minister Tan Sri Muhyiddin Yassin tonight announced a supplementary aid and stimulus package totalling RM40 billion to enable the people tide over the more restrictive movement control order (MCO) 3.0 over two weeks beginning June 1. The Supplementary Strategic Programme to Empower the People and Economy or Pemerkasa Plus includes the government’s […]
RM1 bln to strengthen public healthcare under Pemerkasa Plus
KUALA LUMPUR: A sum of RM1 billion has been allocated to increase capacity and strengthen public healthcare under the Supplementary Strategic Programme to Empower the People and Economy (Pemerkasa Plus) unveiled by Prime Minister Tan Sri Muhyiddn Yassin tonight. He said RM450 million is for boosting bed capacity and ICU equipment for Covid-19 treatment, not […]
Govt announces RM40 bln Pemerkasa plus package to boost economy, help people
KUALA LUMPUR: The government has announced a RM40 billion Pemerkasa Plus stimulus package, comprising a total of 12 initiatives based on three main goals, to shore up the country’s economy and assist the people amid the stricter movement control order (MCO) being implemented to curb the rise in Covid-19 infections. The three main goals are […]
