Following the implementation of the Full Movement Control Order (MCO) in Malaysia starting 1 June, Prime Minister, Tan Sri Muhyiddin Yassin had announced the Pemerkasa+ package to help Malaysians get through this tough time.
In addition to the financial assistance package, he said that he and all cabinet ministers will not receive 3 months of salaries and these money will be donated to the National Disaster Relief Fund to show their sincerity in fighting the COVID-19 pandemic as a country.
Meanwhile, the Pemerkasa+ package amounts to RM40 billion and it primarily has 3 aims that include boosting public healthcare capacity, preserving people’s welfare, and ensuring the sustainability of businesses.
“As I have pointed out before, the closure of several sectors will have a tremendous impact on the national economy and the rakyat’s lives. I wish to be honest that the government has very limited fiscal space to spend at this time,” Muhyiddin said.
“But based on the concern of people’s welfare, the government will do its best to ensure a balance between lives and livelihoods through the FMCO.”
The Pemerkasa+ package includes the following initiatives:
- RM2.1 billion allocated to the Bantuan Prihatin Rakyat (BPR) programme to help households earning less than RM5,000 a month and individuals earning less than RM2,500 a month.
- Option for moratorium on loans for three months or reduction of loan repayments by 50% for six months for those in the B40 group, who lost work, and small and medium enterprises (SMEs) that cannot operate during the MCO.
- A special one-off assistance of RM500 for tourist drivers, taxi drivers, and school bus drivers, rental car drivers and e-hailing drivers.
- The government will allocate RM1.5 billion to extend the Social Security Organisation’s (SOCSO) wage subsidy programme for another month.
- Students from local institutions of higher learning will be able to claim RM150 in e-wallet credit through the e-Belia programme.
- Free upskilling will be given to employees through over 400 modules and courses available online under the e-Latih portal.
- A RM1,500 grant will be paid to eligible SMEs by July through the Geran Khas Prihatin (GKP) programme.
- 10% discount in electricity bills for affected sectors, which includes hotel operators, travel agencies, shopping complexes, convention centres, theme parks, and airline offices.
- The Companies Commission of Malaysia (SSM) will waive penalties for late renewal of business licenses for micro businesses, sole proprietorships, and partnerships until 31 December.
- Building and business premise owners who reduce rental rate for their business premises by 30% for six months up to 31 December will get special tax deductions.
- The stamp duty exemption under the Home Ownership Campaign (HOC) will be extended to 31 December.
Watch the full announcement here: