AHEAD of the tabling of the Budget 2021, the Malaysian Association of Tour and Travel Agents (Matta) today suggested the government extend the moratorium to at least June next year.

Matta president Tan Kok Liang said as the tourism industry is crippled and unable to repay loans, many businesses and individuals would suffer and probably be declared bankrupt without a moratorium extension.

“The government has to make firm decisions and instruct the banks and other finance and leasing companies to extend the moratorium period to help the economy as a whole.

“The current measures rolled out to provide temporary relief, such as Penjana Tourism Financing and related facilities are not effective as prudent small and medium-sized enterprises are cautious on future repayments during this period of uncertainty,” he said in a statement today.

As for an effective wage subsidy programme, Tan said Matta has also reached an agreement with the Malaysian Association of Hotels on a proposed two-tiered wage subsidy system, similar to the system used in Singapore, Canada, Australia and the United Kingdom.

He said the tiered system specifically called on the government to provide a 50% subsidy for employees earning up to RM4,000 and 30% for those earning between RM4,001 and RM8,000, adding that the programme should extend until at least to June next year.

Meanwhile, Matta also laid out its Budget 2021 wish list, which include sufficient funding for tourism businesses to invest in digitalisation and for the government to support local online platforms instead of relying on foreign platforms.

“As the national tourism association, we ask for a special grant of RM20 million to further enhance the Matta online platform and e-hailing platform for the marketplace,” he added.

Matta also recommended the international borders to be gradually reopened in the first quarter of 2021, starting with Asean countries to help sustain Malaysia’s tourism industry, as what many other countries were now doing. – Bernama, October 29, 2020.