PRIME Minister Muhyiddin Yassin today announced a fifth economic stimulus package amounting to RM15 billion, as most of the country enters the second week of strict movement curbs. 

Muhyddin today said there will be 22 initiatives carried out under the Permai economic stimulus package.

With Permai, the government aims to combat the Covid-19 pandemic, take care of the people’s welfare and ensure business survival.

Last year, the government allocated a total of RM305 billion through the Prihatin, Prihatin SME plus, Penjana and Kita Prihatin packages.

The four economic stimulus packages which were equivalent to 20% of the country’s gross domestic product (GDP), saw a fiscal injection of RM55 billion.

“The government has, time and again, demonstrated that we will not compromise in ensuring the people’s wellbeing, business continuity and economic resilience,” Muhyiddin said.

Among the initiatives under the Permai package: 

* The continuation of the loan moratorium, including extension of the moratorium and restructuring of loan.

* EPF will provide an advance of up to RM1,000 from the amount applied under the i-Sinar Category 2 facility especially for those facing challenges due to the MCO and floods.The i-Sinar Category 2 advance withdrawal process has also been simplified as members will only need provide a self-declaration that they meet the prescribed criteria and submit the supporting documents online.

* Extension of special tax relief of up to RM2,500 on the purchase of mobile phones, computers and tablets until the end of 2021

* Extension of the sales tax on passenger vehicles until June 30.

* PTPTN borrowers affected by Covid-19 or floods can apply for a three-month moratorium. Applications can be made until March 31.

* Wage Subsidy Programme 3.0 under the Social Security Organisation will be open to all employers in MCO states irrespective of sector. Eligible employers will receive a wage subsidy of RM600 for each of employee earning less than RM4,000 for one month. Limit will be increased from 200 employees to 500 employees for each employer.

* Rescheduling and extending the moratorium period for Mara Loans and rent discount for Mara business premises. Borrowers can apply to reschedule the repayment of Mara education or  business loan moratorium until March 31. Mara will provide 30% rental discount on business premises from November last year to April.

* Special tax deduction for any company that reduces rent by at least 30% to SME business premises of from April 1, last year, to March 31.

* Final payment of the Bantuan Prihatin Nasional or BPN 2.0 to be expedited to January 21. A total of 11.1 million recipients will receive a total of RM2.38 billion.

* One-off financial assistance of RM500 to 14,000 tourist guides as well as 118,000 drivers of taxis, school buses, tour buses, rental cars and e-hailing vehicles.

* Excise duty and sales tax exemption for the transfer, disposal and for private use of taxis, provided the vehicle is owned for at least five years.

* Microcredit schemes will be expedited, such as Bank Simpanan Nasional’s RM390 million soft loan, Agrobank’s RM350 million and the RM295 million by TEKUN.

* Increase the maximum financing under the Danajamin Guarantee Scheme(SJPD) from from RM500 million to RM1 billion.The scope of financing will be expanded  to cover working capital for a guarantee period of up to 10 years; foreign-owned companies operating in Malaysia will be allowed to obtain the SJPD guarantee provided that at least 75% of their employees are Malaysian.

* Bus and taxi hire-purchase rehabilitation scheme.

* Financial assistance of RM1,000 each through the Prihatin special grant plus for traders and hawkers in Sabah.

* Extension of the provision of the Free 1GB Internet data to April 2021. Special internet subscription package for SPM and STPM students will be extended to all students of higher learning institutions. This package will also be made available until the end of April 2021. 

* Extending the effective period of Temporary Measures for Reducing the Impact of COVID-19 Act 2020. The effective period of inability to perform contractual obligations will be extended to March 31. This includes hire-purchase or lease contracts and credit sales contracts which benefit groups such as the B40, M40 and micro enterprises who are unable to meet their contractual obligations. – January 18, 2021.