Kita Prihatin prevents greater economic slowdown, say economists

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The Wage Subsidy Programme and special micro SME grant prevent firms from going under due to loss of revenue amid Covid-19. FMTNews KitaPrihatin

Abu Sofian Yaacob says Kita Prihatin provides helpful short-term relief for families in need while creating economic activities with the money spent going back to the economy.

He said the special RM3,000 grant for micro, small and medium-sized enterprises as well as the Wage Subsidy Programme prevented firms from going under due to a reduction in revenue. However, Nazari warned that these short-term measures would lead to an increase in government debt which could turn out to become long-term problems for the government.

He told FMT that the RM3,000 special Prihatin grant for micro SMEs would enable business owners to improve their trade, adding that petty traders could even upgrade simple items such as utensils or furniture.

 

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