BR1M restructuring: Initiatives increase people's productivity

The restructuring of the 1Malaysia People’s Aid should consider the positive impact on the recipients to ensure that the assistance will improve the productivity of the rakyat.

Economic Researcher, Muhammed Abdul Khaled said food relief is a type of aid that is deemed unsuitable as it prohibits productivity.

In a research conducted in the United States of America, parents who receive food aid will increase the probability of their offspring to receive similar assistance.

“If you ask the type of assistance that should be handed out, depends on which group that requires it.

“If the recipients are elderly or not productive anymore, they surely need the cash.

“Otherwise, those who are married with children can be dependent of the latter. Those who were working before can depend on their insurance where appropriate to increase their productivity,” he said when interviewed on Hari Ini 8 on Wednesday.

Prime Minister Datuk Seri Najib Tun Razak, who is also Finance Minister during the 2017 Budget tabling announced the distribution of BR1M to households with an income below RM3,000 to be increased from RM1,000 to RM1,200.

For households with earnings between RM3,000 and RM4,000, a total of RM900 is allocated.

Those who are single and earn below RM2,000 will receive RM450.