Budget 2021: M40 group not marginalised - Tengku Zafrul

Fauzi Suhaimi
November 14, 2020 18:36 MYT

Tengku Datuk Seri Zafrul Tengku Abdul Aziz said there were various initiatives provided by the government to the group that covered two categories, namely groups that have lost their jobs and still have jobs. - Astro AWANI / Shahir Omar

KUALA LUMPUR: The middle-income group (M40) has not been excluded from receiving benefits through the 2021 Budget tabled on Nov 6.

Minister of Finance, Tengku Datuk Seri Zafrul Tengku Abdul Aziz, said there were various initiatives provided by the government to the group that covered two categories, namely groups that have lost their jobs and still have jobs.

"For the M40 group who lost their jobs, various initiatives are provided including the benefits of the Employee Insurance System (SIP) which is extended for up to nine months compared to the previous six months.

"Besides that, a total of RM1 billion is allocated for the Upskilling and Reskilling program which is specifically for this group in providing training and job security when the training with the employer is completed.

"Tax exemptions are also given up to more than RM20,000 and the benefits of the moratorium program either extended or loan payments restructure due to loss of employment or affected income," he said in a press conference here on Saturday.

Meanwhile, for the job loss category, Tengku Zafrul said, the group can still withdraw money from Account 2 of the Employees Provident Fund (EPF) through the i-Lestari program of RM500 monthly for a duration of 12 months.

"Besides that, there is the Community Protection Scheme (Mysalam) and reduced income tax rate by up to 1 per cent for those earning more than RM50,000 to RM70,000 a year.

"The reduction in the EPF contribution rate from 11 per cent to 9 per cent is also given to this group and as a result of the effort, it will boost the economy by RM9.3 billion," he explained.

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