Perlindungan Ekonomi dan Rakyat Malaysia (PERMAI) Assistance Package: Reprioritisation of Initiatives to Cope with MCO 2.0
- In 2020, the Government has implemented four economic stimulus packages (PRIHATIN, including Economic Stimulus Package announced on 27 Feb 2020; PRIHATIN SME+; PENJANA; KITA PRIHATIN) worth RM305.0 billion or 21.1% of GDP, of which RM55.0 billion was direct fiscal injection. These packages were aimed to ease the financial burden on vulnerable households; to buoy cash-strapped SMEs, to provide liquidity to financial markets and to aid millions of people who lost their jobs.
- On 15 Dec 2021, the Parliament has approved the largest ever fiscal spending Budget totaling RM322.5 billion or 20.6% of GDP for 2021 to revitalize the healing economy.
- Following the rapid rise in infection cases breaching the 2,000 mark in recent weeks since the outbreak of the third wave of COVID-19 in late September, the Government has re-implemented Movement Control Order (MCO 2.0) in several states/territories for a two-week period (13-26 Jan 2021), which has now extended to almost all states with exception of Sarawak.
- On concerning MCO 2.0’s dampening impact on the already slowing recovery pace in 4Q 2020, the Perlindungan Ekonomi dan Rakyat Malaysia (PERMAI) Assistance Package totalling RM15.0 billion, of which direct fiscal injection of RM6.6 billion was rolled on 18 Jan 2021 to improve existing initiatives as well as accelerate the implementation of related initiatives as announced in previous stimulus packages and in the Budget 2021.
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