KUALA LUMPUR – Banking institutions have been instructed by the Finance Ministry to immediately waive interest payments linked to the targeted loan moratorium.
This policy applies to the bottom 50% (B50) moratorium recipients over a period of three months in this year’s fourth quarter, the ministry said in a statement today.
Meanwhile, the cabinet has proposed raising the government’s statutory debt ceiling from 60% to 65% of gross domestic product, as part of measures to deal with the economic fallout of the Covid-19 pandemic, the ministry said.
It has also proposed boosting the size of its special Covid-19 fund to RM110 billion from RM65 billion.
The two proposals will be tabled to Parliament in October for approval, the ministry said.
It added that the amendments to the fund is to strengthen the public healthcare system, improve financial aid to the people, and support businesses, especially small and medium enterprises and micro-SMEs.
The ministry said with the political memorandum of understanding signed yesterday, GDP growth is expected to increase from 3.0% to 4.0% this year. – The Vibes, September 14, 2021