Moratorium: The banks incurred losses RM6.4 billion for 6 months – Minister

Min Tengku Zafrul 2

KUALA LUMPUR JULY 27: Malaysia is the first country in the world to implement moratorium benefit for the people during the Movement Control Order (MCO) effective from April until September 2020.

Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz said other countries that had implemented moratorium due to COVID-19 pandemic include Thailand, Singapore, Philippines, United Kingdom and United States of America (USA).

Tengku Zafrul said the implementation of the moratorium with RM59 billion allocations had benefitted 7.7 million people or 93% of individual borrowers.

He said the government has allocated RM59 billion for the moratorium with the support from local banks that is aimed to help the people with their cash flow.

“With the implementation of the moratorium, the local banking systems (MFRS9) have lost RM1.06 billion a month and for six months the losses incurred is RM6.4 billion,” said Tengku Zafrul at the questions to ministers’ session at Dewan Rakyat here today.

Tengku Zafrul said that to an additional question raised by Member of Parliament for Tanjung Karang, Tan Sri Noh Omar who complimented the government under Perikatan Nasional (PN) that had helped the people during MCO unlike the former government had always said the government is losing trillions of money.

Noh Omar then requested the Finance Minister to highlight the positive side of the moratorium that had been enjoyed by the people.

Prior to that, Tengku Zafrul said, 545,000 Micro SMEs have benefitted from the Prihatin Special Grant (GKP) while the initiative has provided for 700,000 SMEs

He added, the government will continue to help the people and monitors the situation of COVID-19. If the MCO has to be implemented due to the rise in the number of infections, then the government will announce its decision (moratorium) the soonest possible.

Tengku Zafrul said that to the question raised by Bagan MP, Lim Guan Eng of whether the moratorium benefits that ends on September will be extended and also in case if the MCO is extended after August 31.-Malaysia World News


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