KUALA LUMPUR: The Malaysian International Chamber of Commerce and Industry (MICCI) has called on the government to enhance the support for businesses impacted by the movement restrictions due to Covid-19.
The chamber said it recognises the “Prihatin Rakyat” Economic Stimulus Package (PRIHATIN) as the first step towards a fiscal approach to managing the country’s immediate situation and post-Movement Control Order (MCO), but claimed that the aid was somewhat imbalanced between support to employees and employers.
“Businesses, especially small and medium enterprises (SMEs), are the largest employers of the rakyat and the largest tax contributors to the country.
“Cash handouts are only good for the moment but the rakyat needs continuous and secured employment, as well as income beyond three months (as stipulated),” MICCI president Datuk Tan Cheng Kiat said in a statement today.
Prime Minister Tan Sri Muhyiddin Yassin, on March 27, unveiled the PRIHATIN package worth RM250 bil to protect the welfare of the people and support businesses, including SMEs, to blunt the Covid-19 impact.
Tan said the survival of businesses is the key that ultimately leads to economic resilience and employment sustainability and there should be a more effective stimulus package for businesses.
“What is needed is to ensure that businesses – being the engine of the economy, driver of growth and provider of employment – survive this current crisis,” he stressed.
He said the MICCI is proposing, among others, a clearer, inclusive and wider definition of “essential items,” which is creating confusion between business and authorities on the ground.
In order to ensure the sustainability of employment and the country’s fiscal health post-MCO, he said the government should allow non-essential operators by sectors to gradually commence business.
He added that the chamber is also suggesting a quick cash flow to businesses by releasing the outstanding Goods and Services Tax (GST) refunds, as well as outstanding government procurement payments. – March 30, 2020, Bernama
