SAMENTA Hails Govt's RM80 Bln SME Support Package To Weather Compliance Challenges
KUALA LUMPUR, Jan 6 (Bernama) -- The Small and Medium Enterprises Association of Malaysia (SAMENTA) views the comprehensive support package valued at nearly RM80 billion for Malaysian small and medium enterprises (SME) as a critical injection of liquidity and a buffer against the rising costs of compliance.
In a statement today, SAMENTA national president Datuk William Ng said the association expresses its appreciation to the Prime Minister and Entrepreneur Development and Cooperatives Minister for the 10 major initiatives announced to help SMEs weather the upcoming compliance and cost challenges.
While these are a good start, he said that the association proposes the following to ensure these policies achieve their maximum impact on the ground.
He said an industry-led effort is needed to produce certified occupational safety and health, data, and environmental, social and governance officers, and prepare our SMEs for transformation into the artificial intelligence and circular economy.
“While the RM1.5 million threshold for rental tax is excellent, we encourage a tiered approach for retailers and construction firms where revenue is high, but net margins are razor-thin.
“Furthermore, SMEs operating within shopping malls whose landlords surpass this threshold should also be exempted from the rental tax to ensure a level playing field,” he said.
Ng also hoped the additional RM2.5 billion in financing would be disbursed quickly to ensure that SMEs, including the 50 per cent who have never received financing before, could access these funds transparently and without bureaucratic hurdles.
“The criteria should be clean and transparent, so there is no room for the financial institutions distributing these funds to interpret them differently.
“There should also be no requirements for these funds to go only to SMEs with certain ratings, since different businesses have different needs and success factors,” he said.
Yesterday, Entrepreneur Development and Cooperatives Minister Steven Sim described the announcements in the Prime Minister’s New Year message as practical and strategic measures that could provide immediate relief to micro, small and medium enterprises (MSMEs) nationwide.
“These initiatives, valued at nearly RM80 billion, serve as a support injection for the MSME sector, particularly in enhancing cash flow liquidity and ensuring business continuity,” he said in a statement.
-- BERNAMA