What are the five key measures Lim Guan Eng proposes for economic recovery?

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Lim Guan Eng Proposes Five Key Measures for Economic Recovery

Former finance minister Lim Guan Eng has proposed five key measures to bolster Malaysia's economic recovery, advocating for an additional RM45 billion injection into Budget 2021. These proposals focus on social protection, job creation, business support, and investment in future technologies and education. Lim argues that the government's current projection of 7.5 per cent GDP growth for 2021 is unrealistic given the global economic climate and the impact of new Covid-19 waves.
Increased Welfare Aid for Vulnerable Groups

One of the core proposals involves significantly increasing monthly welfare aid payouts. Lim suggests raising these payments from the current RM200 and RM300 to RM1,000 per month. Crucially, this enhanced aid should extend to individuals who have recently become unemployed, aiming to provide a more substantial safety net. The estimated cost for this measure is RM12 billion.
Reimplementation of Blanket Bank Loan Moratorium

Lim also calls for the reimplementation of a blanket bank loan moratorium for a further six months, with the period backdated to September 30. This measure is intended to provide financial relief to an estimated eight million Malaysians who have been severely impacted by the pandemic. In contrast to targeted moratoriums, which Lim notes have assisted only 645,000 borrowers, the blanket approach aims for broader reach. This initiative is projected to cost RM6.4 billion.
Malaysia@Work Hiring Incentive Programme

To stimulate job creation, Lim proposes an RM13 billion allocation for the Malaysia@Work hiring incentive programme over the next two years. This programme aims to encourage employers to take on new staff by providing financial incentives, with RM500 directed to employees and RM300 to employers for each new hire. The initiative, first introduced by the Pakatan Harapan government, is designed to assist over 500,000 unemployed youths.
Digitisation of the Education System

Recognising the importance of education continuity, Lim suggests an RM4 billion investment to digitise the education system. This funding would include the purchase of laptops for students, thereby ensuring the availability of online learning resources for those unable to attend physical classes. This investment aims to bridge the digital divide and maintain educational access amidst potential disruptions.
Financial Lifelines for Struggling Companies

Finally, Lim proposes setting aside an additional RM10 billion to support companies facing financial difficulties. This fund would be provided in the form of loans or credit extensions, with a particular focus on the tourism industry. Lim highlights projections that 40 per cent of hotels could be forced to close without government intervention, potentially leading to job losses for approximately 2,000 staff in that sector alone.

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What are the five key measures Lim Guan Eng proposes for economic recovery?

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