Kota Kinabalu: The business community, including small and medium enterprises (SMEs), are urged not to worry and believe in the Government’s commitment to help them cope with this “unprecedented” crisis.

“The Government is very aware and recognises their role as the engine of economic growth of the country. That’s why the RM250 billion Prihatin Rakyat Economic Stimulus Package (Prihatin) continues to focus on these sectors and groups,” said Deputy Finance Minister I, Datuk Abdul Rahim Bakri (pic), in a statement, Wednesday.

He said the Government received various feedback and recommendations from industry players and business owners.

“As a government that has adopted a pro-business policy, it will certainly consider the best suggestions and recommendations, in particular in formulating the 2021 National Budget,” he said.

“This stimulus package is not to be overlooked solely by the ‘cash transfers’ initiative aimed at the target population of the affected people. And some are trying to raise a cynical perception of the Perikatan Nasional (PN) Government’s generosity.

“Negative attitudes can submerge many good initiatives designed to help the business community, especially small and medium enterprises that are never forgotten,” he said.

He said cash giving to the people themselves is an initiative that ultimately benefits traders, especially small and medium enterprises (SMEs) and the retail sector.

“Cash transfers are translated as disposable additional income that will certainly increase liquidity in the market and will indirectly benefit from the exchange of hands and the double effect.

“Under the Government’s financial facility initiative, all companies affected by the crisis, including SMEs, can choose to defer their six-month bank loan repayment without incurring compound and penalty interest rates.

“This is to provide the opportunity for companies affected by the crisis to make adjustments to their working capital commitments.

“They are also allowed to make recommendations for restructuring and rescheduling of bank loans. With this facility they can customise their business’ current projections with the ability to repay loans,” he said.

He said a subsidy of RM600 for a three-month period for those affected by a 50 per cent decline in income by Jan 1, is a welcome relief considering the current Government’s financial viability.

“Certain party proposals to subsidise wages up to 75 per cent are quite exorbitant. We believe that with the ever-improving Malaysian economic situation, many companies that have benefited greatly have provided sufficient company reserves to withstand any kind of economic downturn,” he said.

He went on to list some of the benefits enjoyed by businesses and SMEs such as the special relief facility fund, etc.

“Through the various initiatives offered, we believe that the country’s SMEs will be able to withstand the challenges of this crisis.

“Given the serious crisis and the new ‘lockdown’ and ‘movement control order’ extended another two weeks, it is too early to anticipate and evaluate the rock bottom impact.

“This early government prescription seems to be sufficient to address the problems of the people, especially the general public.

“The Government’s desire now is to ensure that everyone has food on the table, this is the noble intention of Prime Minister Tan Sri Muhyiddin Yassin,” he said.

In presenting the Prihatin Package on March 27, the Prime Minister used an analogy of “Mak Cik Kiah”, a pisang goreng (banana fritters) seller and her family, to demonstrate how an average bottom 40 per cent of the household income group (B40) family could benefit from the initiatives.

Like “Mak Cik Kiah” who would be enjoying cash handouts and savings amounting to RM7,864 under the Prihatin package, the Government is also providing easy-term financing facilities to “Mak Cik Kiah” acquaintances, including SME entrepreneurs to ensure their sustainability.