Business

Businesses thankful MCO 3.0 hasn’t fully shut down economy

Putrajaya praised for avoiding ‘knee-jerk’ reaction

Updated 5 years ago · Published on 26 May 2021 6:00PM

Businesses thankful MCO 3.0 hasn’t fully shut down economy
The SME Association of Malaysia says fully shutting down the economy under MCO 3.0 would have closed down 40% of small businesses. – The Vibes file pic, May 26, 2021

KUALA LUMPUR – The government’s decision not to implement a full-scale lockdown has the support of chamber of commerce, industry, and small and medium enterprise (SME) associations.

The SME Association of Malaysia said a total lockdown this time around might cause 40% of SMEs to shut down and many multinational corporations to relocate their manufacturing operations to other countries.

“It was anticipated that two million people would lose their jobs and livelihoods if the lockdown was imposed,” its national president, Datuk Michael Kang said in a statement today.

Last Sunday, Prime Minister Tan Sri Muhyiddin Yassin said that imposing a full-fledged lockdown will cost the government half a trillion ringgit, which Malaysia cannot afford right now.

Applauding Muhyiddin for his courageous decision, the Malaysian International Chamber of Commerce & Industry (MICCI) said the prime minister recognised that economic activities provide the government with the revenues needed to protect lives by ensuring continuous medical facilities, vaccines, financial assistance, and jobs.

The chamber also pointed out that case studies have shown that a full-blown lockdown is not the solution as it damages livelihoods and merely contains the virus.

In fact, the workplace is the safest as businesses can control standard operating procedures (SOPs) and no business will purposely flout SOPs as it jeopardises business, it said.

As Malaysia reached a record number of 7,289 new Covid-19 cases infections yesterday, Industries Unite said it is imperative that the country avoids a ‘knee-jerk’ reaction based on fear.

“The government has the requisite data, and we support any move to balance life, livelihood and national interest. 

“We support a decision that prioritises the welfare of the public at large based on science and accurate data,” said the coalition of more than 110 business groups.

It urged the government to accelerate vaccinations and do what is necessary to reduce the impact of the current movement control order on lives and businesses. – Bernama, May 26, 2021

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