KUALA LUMPUR: Businesses need to change their strategies to remain competitive amid an abundance of government assistance, said Bank Islam Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid.
He said the economy would recover in the second half of this year and businesses should start diversifying to sustain in the long run during the COVID-19 pandemic.
"The Strategic Programme to Empower the People and the Economy (PEMERKASA) announced last week is merely to provide a kind of backstop measures which is very transitory in nature.
"Hence, all they need to do is to galvanise all available resources including the government assistance so that these businesses can move forward," he told Bernama.
Mohd Afzanizam said businesses may need to venture into new products, new markets or partnerships within the business eco system.
"Businesses must be able to cope with limited cashflows and, at the same time, be able to forge into new areas or market," he added.
PEMERKASA worth RM20 billion is the sixth stimulus package since 2020, bringing the total value amounted to RM340 billion.
Among the assistance given is the RM500 million allocation for microcredit financing facilities via programmes under Bank Simpanan Nasional (BSN), TEKUN, Majlis Amanah Rakyat dan SME Corp.
Besides, a one-off assistance of RM1,000 for the Prihatin Special Grant 3.0 as well as the RM700 million Automation and Digitisation Facility for small and medium enterprises (SMEs) to obtain loans.
Meanwhile Bumiputera Manufacturers and Services Industry Association of Malaysia president Datuk Azman Yusoff opined that the association's strategy to strengthen the business is to have better living conditions for works on site and housing area as well as strict standard operating procedures for workers on site.
Through PEMERKASA, the small infrastructure contractors especially in the G1 to G4 categories have benefited from the assistance as the allocation has been raised from RM2.5 billion to RM 5 billion.
"We need to ensure the small jobs like G1-G4 take off immediately because the national construction industry is very much affected during Movement Control Order 2.0 as most of the jobs that were being awarded are not carried out."
"So more opportunities for new business ventures for small contractors via tenders, direct awards and other methods are available," he said.
Azman suggested the Construction Industry Development Board take the lead on works on-site and workers' issues via engagement sessions with the relevant authorities and the Minister of Works.
-- BERNAMA
Bernama
Sun Mar 21 2021
Mohd Afzanizam said businesses may need to venture into new products, new markets or partnerships within the business eco system. - Sinar Harian
Who is Prabowo Subianto, incoming president of Indonesia?
A wealthy ex-general with ties to Indonesia's popular outgoing president and its dictatorial past, looks set to be its next leader.
Iran's supreme leader says Hamas leader's death will not halt 'Axis of Resistance'
The "Axis of Resistance", built up with years of Iranian support, includes Hamas, the Lebanese Hezbollah group, the Houthi movement in Yemen, and various Shi'ite groups in Iraq and Syria.
Putin says Russia willing to seek compromises between Iran and Israel
Russia is ready to help seek compromises between arch-foes Israel and Iran, President Vladimir Putin said on Friday, saying these would be difficult but possible.
What proposals will Russia push at the BRICS summit?
The proposal is also to establish a BRICS reinsurance company to allow uninterrupted shipment of goods and key commodities between members.
Indonesia's free meals plan in the spotlight as Prabowo readies for office
Prabowo calls the programme one of the main drivers of economic growth, eventually set to add an estimated 2.5 million jobs.
Astro AWANI's revamped English news website, AWANI International, launches on Oct 21
Astro AWANI's revamped English platform delivers in-depth global news and expert analysis to keep you informed on key developments.
Israeli strikes kill 33 people in Jabalia refugee camp in Gaza, medics say
Residents of Jabalia said Israeli tanks had reached the heart of the camp after pushing through suburbs and residential districts.
Liam Payne's ex-partner calls for media restraint after 'painful' death
Cheryl Tweedy used her statement to urge the media to remember they had a seven-year-old son, Bear, who could read the reports.
Analysts: Indonesia's strong MoF leadership team to boost investor confidence
Sri Mulyani Indrawati as head of Indonesia's Ministry of Finance is expected to instil confidence among investors.
Biden offers both a carrot and a stick to Israel as his term nears an end
Israel has frequently resisted US advice and has caused political difficulties for the Biden administration.
Putin says BRICS will generate most of global economic growth
Russian President Vladimir Putin will host a summit of the group in the city of Kazan on Oct. 22-24.
ISIS Malaysia's perspective of Budget 2025
An excellent rakyat-centric budget under the overarching principle of a caring and humane economy.
Budget 2025: Record increase in STR, SARA aid initiatives
The government will provide a significant boost to the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) initiatives next year.
Budget 2025: EPF contributions to be made mandatory for foreign workers – PM Anwar
The government plans to make it compulsory for all non-citizen workers to contribute to the Employees Provident Fund (EPF).
What policies to expect from Indonesia's new President Prabowo
Prabowo will be open to foreign investment, his aide has said, such as by offering investors management of airports and sea ports.
Budget 2025: Govt allocates RM470 mil to empower women's participation in PMKS
The Women's Leadership Apprenticeship Program will be intensified as an effort to produce more female corporate personalities.
Israel sends more troops into north Gaza, deepens raid
Residents of Jabalia in northern Gaza said Israeli tanks had reached the heart of the camp, using heavy air and ground fire.
Indonesia ramps up security ahead of Prabowo's inauguration
Prabowo Subianto will be sworn in as Indonesia's president on Sunday with Vice President-elect, Gibran Rakabuming Raka, also taking office.
Immediate allocation of RM150 mil for local authorities, DID to tackle flash floods
Datuk Seri Anwar Ibrahim said this allocation is intended to address the recent flash floods that hit the capital and several major towns.
Budget 2025: Sabah, Sarawak to continue receiving among highest allocations - PM
Sabah and Sarawak continues to be prioritised under Budget 2025, with allocations of RM6.7 billion and RM5.9 billion respectively.