What percentage of B40 households faced cash flow issues pre-stimulus?

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Nearly 20 Percent of B40 Households Faced Negative Cash Flow Before Stimulus

Without the support of the Prihatin Rakyat Economic Stimulus Package, approximately 20 per cent of households categorised as B40 (Bottom 40 per cent income group) experienced negative cash flows. This situation meant they could not afford to cover their necessary expenditures due to income loss during the initial period of the Movement Control Order (MCO).
Impact on Necessary Expenditures

The economic fallout from the Covid-19 pandemic and the subsequent MCO significantly impacted household finances in Malaysia. The survey conducted between March 20th and 27th revealed that nearly one-fifth of B40 households were unable to sustain their essential spending. This indicates a substantial portion of the lower-income bracket was already struggling to meet basic needs amidst lost earnings.
Shortfall Severity and Savings Depletion

For B40 households experiencing negative cash flow before the stimulus, the monthly deficit was considerable, with many owing over RM1,000 more than their income. Without any form of relief, nearly all of these households with negative cash flow would have been able to sustain themselves for only a month or less using their accessible savings. This highlights the precarious financial position many B40 households were in at the onset of the crisis.
Stimulus Package's Immediate Effect

The Prihatin Rakyat Economic Stimulus Package provided immediate financial relief, significantly improving the cash-flow situation for a majority of households. While nearly 20 per cent of B40 households faced negative cash flow prior to the package, the stimulus measures, including debt holiday provisions and cash transfers, helped to mitigate these shortfalls. Even with the stimulus, however, a notable fraction of B40 respondents, over 10 per cent, remained cash-flow negative.

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What percentage of B40 households faced cash flow issues pre-stimulus?

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