MoF begins measures to support all during emergency, MCO 2.0

Govt will continue to roll out the measures in Budget 2021 to firmly place Malaysia on its recovery path

by HARIZAH KAMEL / pic by MUHD AMIN NAHARUL

THE Finance Ministry (MoF) has begun considering various measures to support the rakyat and businesses during this Movement Control Order (MCO) 2.0 and the emergency period.

“Going forward, the government will continue to roll out the measures in Budget 2021 to firmly place Malaysia on its recovery path in 2021.

“More importantly, there is sufficient domestic liquidity to support any additional fiscal stimulus to support lives, livelihoods and businesses, if necessary,” Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz (picture) said.

He also re-emphasise that the government remains committed to building upon the current recovery momentum and ensure long-term sustainability for both the public finances and economy.

Yesterday, The Malaysian Reserve reported that the government should consider extending financial aid, especially for economic sectors that would be affected by the re-implementation of the MCO.

Malaysian Association of Hotels CEO Yap Lip Seng voiced that the government should extend the proposed wage subsidy of 50% for employees with monthly pay of up to RM4,000 and 30% for those earning between RM4,000 and RM8,000.

Meanwhile, the Federation of Malaysian Manufacturers (FMM) said it is looking forward to the expeditious release of the standard operating procedure details to allow enough time for businesses and industries to plan and adjust accordingly.

FMM president Tan Sri Soh Thian Lai said it is paramount that the process and procedure to operate are seamless and clear for fast implementation. He also assured all Malaysians and investors that the administration of the country has always been facilitated by a well-regulated financial system, including the capital and financial markets.

Tengku Zafrul maintained that the Malaysian capital markets will remain open to support and facilitate fundraising, trading and investment, with all regulatory functions in place throughout the various forms of MCO and the Emergency Ordinance period.

“The continued operations of the capital markets are important to support the resilience and recovery of the economy, and help investors manage their risks and opportunities during this period.

“I would also like to highlight that Malaysia has a resilient capital market ecosystem, supported by ample liquidity,” he said in a statement yesterday.

He said the Securities Commission Malaysia and Bursa Malaysia Bhd will continue to monitor the ongoing developments to proactively manage and mitigate risks in the marketplace, and will introduce additional precautionary measures, as appropriate.

In terms of financial intermediation and payment systems, Tengku Zafrul said the operations of financial institutions and financial markets will continue as usual, with services remaining available and accessible to borrowers.

Bank Negara Malaysia will continue to actively monitor conditions in the financial markets to ensure that there is sufficient liquidity in the foreign-exchange, bond and money markets, and that market conditions remain orderly.