Government committed to helping SME weather economic challenges
KUALA LUMPUR, April 25 ― The government will entsure that the local small and medium enterprises (SME) sector will remain resilient and sustainable in facing the current economic challenges, especially the cash flow problem during the movement control order (MCO) period, said Tan Sri Muhyiddin Yassin.
The prime minister said this is because the SME is a key sector, accounting for more than two-thirds of the jobs in the country and almost 40 per cent of the Malaysian economy.
Therefore, the government is committed to helping ease the financial burden of SME now, apart from ensuring that they fully benefit from the aid provided under the Prihatin Rakyat Economic Stimulus Package (PRIHATIN) and SME additional package of RM10 billion which were unveiled recently, he said.
“This is important because a major part of our economy relies on SME activities involving a huge number of workers; I think almost 70 per cent of our workforce comes from the SME sector, which contributes more than 35 per cent to the Gross Domestic Product (GDP),” he said in a special interview aired over RTM, Astro Awani, TV3 and Bernama TV tonight.
The government had unveiled a RM250 billion Covid-19 relief plan under the PRIHATIN package which, among others, allocated RM100 billion to support businesses including SME. Almost RM128 billion was also allocated to protect the people’s welfare and RM2 billion to strengthen the national economy.