3 months automatic loan moratorium or 50 pct lower repayment for six months to borrowers

Muhyiddin announcing the additional economic assistance measures during a live telecast tonight. Screenshot taken from TVS and Radio Television Malaysia (RTM) live streaming today (May 31, 2021).

KUCHING, May 31: The B40 income group, small and medium enterprises (SMEs) and the people will be given a choice to opt for three months automatic loan moratorium or 50 per cent lower installment on their repayment of credit facilities for six months.

Prime Minister Tan Sri Muhyiddin Yassin said the measure is one of the initiatives under the Pemerkasa Plus economic assistance package amounting to a total of RM40 billion.

“I have heard the request for the government to reconsider giving moratorium.

“As a result of discussion between Bank Negara Malaysia and the banking industry players, they are committed to provide repayment assistance and moratorium.

“Therefore, all the B40 income groups, the rakyat who has lost their jobs as well as SMEs that are not allowed to operate during the Movement Control Order (MCO) will be given a choice.

“Automatic moratorium for three months or lower repayment up to 50 per cent of financing for six months,” he said during a live telecast at Kuala Lumpur tonight.

Muhyiddin said the initiative will be implemented immediately in June and is expected to benefit 5 milllion borrowers with a value of RM30 billion.

He added the banking industry will provide the details on the measure starting from tomorrow (June 1) onwards.

Muhyiddin hoped that the automatic loan moratorium measure will provide some financial relief to borrowers.

“The borrowers will only need to contact the respective banks to obtain the assistance,” he added. — DayakDaily