MALAYSIAN PM PROVIDES ADDITIONAL RM10 BIL TO SUPPORT SMES AFFECTED BY COVID 19

Published by Lavinesh @ 06/04/2020

Prime Minister YAB Tan Sri Dato’ Haji Muhyiddin Bin Haji Mohd Yassin

Prime Minister YAB Tan Sri Dato’ Haji Muhyiddin Bin Haji Mohd Yassin has announced an additional RM10 Billion to the RM250 Billion COVID-19 Stimulus Package that was proclaimed on March 27, to support SMEs that have been heavily impacted by the COVID-19 pandemic.

The package includes: 

  1. A revised package for wage subsidies for employees earning less than RM4,000/month. Businesses with more than 200 employees can claim RM600 for a maximum of 200 employees. Companies with 76-200 employees can claim RM800 each and companies with 1-75 employees will be able to claim RM1200, provided that employers retain their workers for the next six months. 
  2. The Government has agreed to allow employers and employees to discuss terms of employment, including payroll deduction options and grant of unpaid leave during the MCO period.
  3. RM2.1 Billion in PRIHATIN Grants of RM3,000 will be awarded to about 700,000 micro SMEs.
  4. Elimination of interest rates for Micro Credit Scheme under Bank Simpanan Nasional (BSN) and TEKUN Nasional.
  5. Temporary rental waiver for premises owned by the government or government-linked companies.
  6. Landlords of private premises that reduce the rentals to SMEs of at least 30% during the MCO and three months after the MCO period will receive a reduction in taxes to equalize the loss faced by landlords.
  7. 25% discount on levies for foreign workers whose permits will expire within April and December 2020.
  8. Businesses are given an automatic 30-day moratorium from the final day of MCO to submit statutory declarations to the Companies Commission of Malaysia (SSM). 
  9. The company's financial statement submissions will be extended for three months from the last date of MCO. This extension must be applied to SSM; no fees will be charged for late submissions.