Banking sector support Budget’s initiatives towards B40 segment and micro enterprises

Chief Executive Officer of Maybank and Chairman of The Association of Banks in Malaysia. Abdul Farid Alias applauded the initiative by the Ministry of Finance and Bank Negara Malaysia to introduce the enhanced Targeted Repayment Assistance scheme that was introduced in the recently held Budget 2021.

The scheme announced targets the B40 income group and micro enterprises as well as the continuing assistance to SMEs and hard-hit industries like tourism.

The Chairman further said that organisations should also support the initiative by the Budget to allocate around RM8.5 billion to protect and create jobs as well as provide various training programmes.

“In our view, organisations should not feel pressured to reduce staff costs by retrenching employees to maintain profits and dividends. All stakeholders must work together to ride out this storm,” he said.

Standard Chartered Malaysia has welcomed the allocation of RM1 billion to curb the third wave of Covid-19. Managing Director and Chief Executive Officer, Abrar A. Anwar said, “We trust that the allocation will enhance critical preparedness, readiness and response of our frontliners.”

He further highlighted that expanding the ongoing targeted repayment assistance for the B40 segment and micro enterprises will help people and businesses cope and navigate through the ongoing tough period.

“As a Bank that is at the forefront of digital banking, we support the government’s commitment in moving Malaysia towards a digital economy,” he added.

The bank believes the central bank’s RM500 million fund for assisting companies in the high tech and innovative sectors as well as MDEC’s RM100 million allocation will aid in creating a future-ready workforce.

CIMB’s Group Chief Executive Officer, Abdul Rahman Ahmad also expressed praise towards the Budget further commending the increased healthcare spending that is needed to address the Covid-19 challenge.

“The effective channelling of financial resources to the consumer has also been facilitated by several Budget initiatives. For example, EPF will allow the monthly withdrawal of RM500 from Account 1, with medical related tax relief raised. There will also be direct cash transfers to frontline workers and single individuals. Collectively, these would provide a multiplier effect in the Malaysian economy, bolstering its recovery,” he said.

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