THE Dewan Rakyat heard calls today for the government to broaden participation of small and local retailers in the MyKasih ecosystem, aiming to maximise economic spillover and strengthen support for B40 households.
Tuan Tan Hong Pin (Bakri) urged the government to enhance the cash assistance program under MySARA, stressing that benefits should extend beyond recipients to include a wider range of retailers.
He said: "At present, the implementation of this programme is largely focused on major supermarkets such as Mydin, Lotus’s, Econsave, and 99Speedmart.
“While the participation of these large retailers is important to ensure consistent supply and a stable system, we must also create opportunities for small retailers and local businesses in villages and small towns to take part in the MyKasih ecosystem."
Tan highlighted the critical role small local retailers play in communities, particularly in rural areas.
He noted that current MyKasih participation requirements, such as selling at least 70% essential goods and carrying specific brands, may present barriers to smaller businesses.
He suggested that rules should be reviewed to be more flexible, without compromising program integrity.
"I believe that by opening more opportunities for small and local retailers to participate, we not only strengthen the support network for aid recipients, but also reinvigorate microeconomic activity in a more sustainable and inclusive manner," he said.
He posed several questions to the Minister of Finance, including whether the government plans to relax participation requirements, the number of small businesses that have applied and been approved as MyKasih merchants, potential incentives such as matching grants or digitalisation support, and plans for schemes similar to Singapore’s CDC Voucher Merchants.
He also requested a government assessment of the program’s impact on local economies.
In response, Deputy Finance Minister Lim Hui Ying outlined the scale and success of the MySARA initiative.
The ministry confirmed that the 2026 Sumbangan Tunai Rahmah and Sumbangan Asas Rahmah programs have increased allocations from RM10 billion in 2024 to RM15 billion, benefiting almost nine million recipients, which equates to over 12.5 million individuals or 60% of Malaysia’s adult population.
Lim explained that SARA allows beneficiaries to use their MyKad at registered outlets to purchase essential goods, with 14 categories covering food, hygiene, medicine, school items, and household cleaning products.
The program has achieved high uptake, with 98% of monthly beneficiaries using their MyKad in 2025, spending over RM3.66 billion.
Regarding retailer participation, the ministry confirmed that the number of registered MySARA merchants has risen to 8,700 nationwide, including supermarkets, convenience stores, cooperatives, and rural outlets.
In Johor alone, 1,070 stores are registered, including small local retailers in Bakri.
The program is designed to ensure that rural and remote communities have access, with distance criteria reviewed periodically to widen participation.
The ministry also highlighted cooperation with local cooperatives, including Coop Mart, Koperasi Penjara Berhad, Koperasi FELCRA, and Koperasi FELDA Sungai Koyan 2.
The Finance Ministry emphasised that the program boosts local economies by increasing consumer spending and supporting small retailers.
"The assistance provided by the Government, such as STR, which is disbursed in phases, and SARA, which is paid monthly, is used by recipients to cover daily expenses for basic necessities, transportation costs, and education expenses. Indeed, the Government’s hope through these assistance programmes is to improve the standard of living of the people," she stated. - November 5, 2025
