The Malaysian economy contracts 5.6 percent in 2020. (Photo: Reuters) Kuala Lumpur (VNA) – Malaysian Prime Minister Muhyiddin Yassin onMarch 17 announced a new economic stimulus package, hoping to breathe life intothe pandemic-hit economy.
The economy contracted 5.6 percent in 2020, its worst performance since a 7.4percent fall in 1998, owing partly to strict movement curbs aimed at haltingthe COVID-19 spread.
Muhyiddin said the government would roll out 20 billion MR (4.86 billion USD)of stimulus packages, including a 11 billion MR fiscal injection.
Under the new plan, the government will raise its COVID-19 immunisation budgetto 5 billion MR, from the initial 3billion MR laid out in its 2021 budget.
The additional funds should help Malaysia reach its target of vaccinating 80percent of its 32 million population by December, instead of February 2022, thePrime Minister said.
In a bid to promote alternative financing, he said the securities commissionwould improve regulations and expand equity crowdfunding to unlisted privatefirms.
Listing fees would be waived for 12 months to encourage companies to go public,while listed firms that suffered quarterly losses would be eligible for rebateson their annual listing fees.
Muhyiddin said commercial 5G services would start in stages from the end ofthis year to develop innovation and new jobs in the digital economy.
The government will alsooffer more cash aid, subsidies, matching grants and training for individualsand businesses, while applying movement restrictions only in areas withinfections.
This was the second round of stimulus packages announced this yearafter a 3.7 billion USD plan in January./.
