Government reveals RM40 billion PEMERKASA+ aid package including RM5 billion direct fiscal injection, with three main goals:
The following are the key takeaways of the PEMERKASA+ aid package announced by Prime Minister Tan Sri Muhyiddin Yassin:
1) For B40s, eligible SMEs not allowed to operate during the MCO, and those who lost jobs,
It is expected to benefit five million borrowers and is worth RM30 billion.
2) Special tax deduction for landlord for a reduction of rent of at least 30% for a period of 6 more months until 31 December 2021.
3) One-month wage subsidy programme under PERKESO worth RM1.5 billion for 2.5 million eligible employees, 200,000 employers. Limited to 500 employees per application.
4) Government launches bus and taxi hire purchase rehabilitations scheme worth RM1 billion, where eligible bus and taxi operators may get a 12-month moratorium and extended repayment period of 36 months.
5) Special Prihatin Grant for SMEs and micro-enterprises raised to RM1,500, with almost one million eligible enterprises to receive RM1,000 in mid-June and a further RM500 in July.
6) Appeals for the imposition of penalty, deferment of penalty and rescheduling of payment of outstanding tax for affected taxpayers and businesses.
7) Government allocates RM2.1 billion for Bantuan Prihatin Rakyat from end-June
8) Sales tax exemption period for completely knocked-down (CKD) and completely built-up (CBU) passenger vehicles extended until Dec 31, 2021, from June 30, 2021.
9) Hotel operators, travel and tourism agencies, shopping complexes and premises, convention centers, parks themes and local airline offices are eligible for 10% electricity bill discount for an additional three months between July and September 2021.
10) RM68 million in one-off aid for eligible tourist guides, drivers at RM500 each.
11) Home Ownership Campaign stamp duty exemption extended until Dec 31, 2021.
12) BNM to add RM2 billion to its SME loan facilities bearing 3.5% interest rate, bringing total amount available to RM7 billion.
13) For MARA entrepreneurs affected by the economic closure, a 30% discount is given on the rental of business premises from May to July, 2021.
14) Employers registered with the Human Resources Development Fund will be exempted from paying the mandatory levy in June. At the same time, employees may upskill themselves through the e-LATiH learning portal for free, with over 400 modules and skill courses.
15) Additional RM1 billion allocated to increase public health capacity to fight Covid-19, including to increase bed capacity, ICU equipment and extend contracts for more than 14,500 health personnels until 2022.
16) Government aims to complete Covid-19 vaccinations in states high populations such as Selangor, Kuala Lumpur, Johor and Penang by October, rest of Malaysia by December.
17) Just like during MCO 1.0, salaries of ministers and deputy ministers for three months during June-August 2021 will be instead chanelled to Disaster Trust Fund for Covid-19 related expenditure.