KUALA LUMPUR – The government has yet to decide on recent calls for another loan moratorium for small to medium enterprises (SMEs) amid hikes in the overnight policy rate (OPR), said Datuk Seri Ismail Sabri Yaakob.
The prime minister said this was because the government needed to hold discussions on the matter with the relevant stakeholders.
“I cannot simply provide answers (to this request). I have to discuss this with the Kuskop (the entrepreneur development and cooperatives) minister. I have to speak with the finance minister,” Ismail Sabri told reporters briefly after launching the National Biotechnology Policy 2.0 at the World Trade Centre here this afternoon.
“We have to discuss this matter first (before a decision is made).”
Ismail was asked to respond to National Recovery Council chairman Tan Sri Muhyiddin Yassin’s calls for Putrajaya to implement a special moratorium on loan repayments for SMEs following the OPR hikes.
The sector needs the moratorium as it has not fully recovered from the impact of the Covid-19 pandemic on the economy, the former prime minister said in a statement on Facebook yesterday.
“Added to this, the increased OPR rate will cause SME entrepreneurs to bear a higher debt burden and take a longer time to recover.
“The SME sector is important as it represents almost 96% of the country’s economic activities. Many citizens depend on this sector for employment and income. Some 50% of Malaysia’s workforce is in this sector.”
Muhyiddin said he had made this suggestion to the government.
On Saturday, he had urged banks to consider offering moratoriums to SMEs.
He said banks would not suffer any losses, as seen from the previous moratoriums offered during the pandemic. – The Vibes, September 12, 2022
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