THE government is enhancing the loan scheme under the Housing Credit Guarantee Corporation by providing financing guarantees of up to 120% of the house price, valued up to RM300,000.

Prime Minister Anwar Ibrahim said the 120% guarantee covers all homeownership costs through the loan, including the principal financing amount, legal fees, valuation fees, insurance, furniture purchase and renovation costs.

“The government has heard the grievances of the people about the postponement of their desire to own their first homes due to their inability to provide a house purchase deposit.

“In this regard, a government guarantee of up to RM5 billion will be provided,” he said when launching the “Madani Economy: Empowering the People” initiative in Kuala Lumpur today. 

Meanwhile, Anwar, who is finance minister, said the Local Government Development Ministry is working on the National Housing Action Plan, which includes the provision of housing based on metrics such as the ratio of median house price to median income.

Anwar said the development of public housing will be continued, along with boosting the rental market as an effort to meet housing needs.

He said the government pledges via Madani Economy to ensure everyone enjoys universal access to basic utilities, be it water or electricity supply.

“People in rural areas deserve world-class basic services. As of 2022, 97% of Malaysia’s population has access to treated water supply,” he said. 

He said the unity government is committed to addressing the water supply issue in Kelantan and Sabah and agreed to allocate an additional RM800 million for short-term solutions in both states.

“The government will expedite the implementation of flood mitigation projects, such as those in Kelantan, Pahang, Selangor and Johor, to protect local communities from flood disasters,” he said.

To improve air connectivity, the government has announced plans to expand the Penang and Subang airports. 

Anwar also said the government is committed to improving transport infrastructure in major cities, including Bus Rapid Transit in Johor Baru and LRT in Penang.

“The implementation of MRT3 in the Klang Valley will also proceed after ensuring reasonable project cost for the government.

“The integration of land public transport management aims to optimise all existing assets by focusing on efforts to build a better public transport network between and within cities; as well as improving last-mile connectivity through cost-effective methods, including the use of electric buses,” he said. – Bernama, July 27, 2023.