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Malaysia launches RM35bil short-term economic recovery plan

05 Jun 2020
Prime Minister Tan Sri Muhyiddin Yassin announces a RM35 bil short-term economic recovery plan, with RM10 bil direct cash injection from the government, bolstering state support for the economy hit hard by the global Covid-19 pandemic.

This is on top of the RM260 bil stimulus under three packages announced earlier.

The short-term economic recovery plan consisted of 40 initiatives.

Below are the key initiatives announced :
  • RM5bil to extend wage subsidy programme that had already saved 2.2 million jobs.
  • RM1.5bil hiring incentives that will benefit an estimated 300,000 job seekers.
  • RM2bil for skill development programmes targeted for the youth and the unemployed. Expected to benefit 200,000 people.
  • RM1bil for small and medium-sized tourism enterprises
  • Stamp duty exemption for first-home purchases
  • Sales tax exemption for locally assembled cars and 50% tax break for imported cars
  • Export duty exemption for palm oil from July-December
  • Tax breaks for corporate spending on temperature scanners, protective equipment and upgrading premises
  • Tax deferments extended for airlines and tourism businesses
  • Establishment of a national jobs task force
  • Policy to be drafted for the gig economy
Source: The Star