A TOTAL of 59,230 contributors have applied for Employees Provident Fund’s (EPF) Account 2 Support Facility (FSA2) as of yesterday since it opened on April 7, with only 27,705 eligible, Deputy Finance Minister Ahmad Maslan said.

“Those who are not eligible are because they are under 40 years old,” he told the media after visiting the Accountant-General’s Department in Putrajaya today.

FSA2 is a facility aimed at helping EPF members obtain personal financing from banking institutions. So far, two banks are participating in FSA2, namely MBSB and Bank Simpanan Nasional.

FSA2 involves a maximum financing of RM50,000 (subject to EPF Account 2 balance) and a repayment period of up to 10 years.

Among the stipulated conditions is that the applicant must have a minimum amount of RM3,000 in EPF Account 2.

Ahmad said despite calls and suggestions to allow contributors who are in desperate need of money to withdraw their savings, the government has no plans to do so.

He said EPF withdrawals are only allowed for housing, education, health, certain protection plans such as chronic illness and a maximum of RM3,000 to cover haj cost.

“EPF members can withdraw from Account 2 for the five purposes while withdrawals from Account 1 are not allowed as the savings are meant for retirement,” he said.

Titiwangsa MP Johari Abdul Ghani was previously reported to have said it is easier to allow people to withdraw their EPF savings than to use them to support loan applications.

Ahmad also said as of December 31, 2022, the total assets and liabilities in the federal government’s integrated financial management and accounting system amounted to RM2.85 trillion.

He said Accountant-General’s Department is still checking for federal government assets in the form of investments, property and others.

“This year, another RM30 billion in assets may be accounted for,” he said, the majority of the assets are in the country. – Bernama, April 12, 2023.