Kuala lumpur: The Small and Medium Enterprises Association of Malaysia (SAMENTA) views the comprehensive support package valued at nearly RM80 billion for Malaysian small and medium enterprises (SMEs) as a critical injection of liquidity and a buffer against the rising costs of compliance.

According to BERNAMA News Agency, SAMENTA national president Datuk William Ng expressed appreciation to the Prime Minister and Entrepreneur Development and Cooperatives Minister for the 10 major initiatives announced to help SMEs tackle compliance and cost challenges. Although these initiatives are a good start, the association has proposed additional measures to maximize their impact.

Ng emphasized the need for an industry-led effort to produce certified occupational safety and health officers, as well as data, and environmental, social and governance officers. This would prepare SMEs for transformation into the artificial intelligence and circular economy. He also suggested a tiered rental tax approach for retailers and construction firms with high revenue but thin net margins and recommended rental tax exemptions for SMEs in shopping malls where landlords exceed the threshold.

Moreover, Ng expressed hope that the additional RM2.5 billion in financing would be swiftly disbursed to SMEs, particularly benefiting the 50 percent who have never accessed financing before. He stressed the importance of transparent criteria to avoid varied interpretations by financial institutions and opposed requirements limiting funds to SMEs with specific ratings.

Entrepreneur Development and Cooperatives Minister Steven Sim described the initiatives in the Prime Minister's New Year message as practical and strategic, aiming to provide immediate relief to micro, small, and medium enterprises (MSMEs) across the country. These nearly RM80 billion initiatives are expected to enhance cash flow liquidity and ensure business continuity for the MSME sector.