KUALA LUMPUR: The government’s direct fiscal injection to stimulate the economy has increased to RM35 bil after the announcement of the RM10 bil PRIHATIN Package for SMEs (Additional Measures) by Prime Minister Tan Sri Muhyiddin Yassin today.
Finance Minister Tengku Datuk Seri Zafrul Aziz said the injection would be funded through government funds and domestic borrowings.
“The country’s budget deficit was previously forecast at about 4.0% following the (RM250 bil) Prihatin Rakyat Economic Stimulus Package (PRIHATIN).
“With the additional RM10 bil under the PRIHATIN Package for SMEs (Additional Measures), the total package now amounts to RM260 bil, which will raise the budget deficit by 0.7% to 4.7%,” he said in an interview.
Overall, the PRIHATIN package represents 18% of the country’s gross domestic product.
Meanwhile, he said more than two million new submissions had been received since the Bantuan Prihatin Nasional cash assistance was opened for application on April 1. - April 6, 2020, Bernama