BN expresses conditional support for the Budget

Kuala Lumpur: The Barisan Nasional (BN) has expressed that the party will support the 2021 Budget on condition that the one-off withdrawal of up to RM10,000 from Account 1 of the Employees Provident Fund (EPF) and the loan moratorium extension, are approved.

Datuk Seri Najib Tun Razak (BN-Pekan) who is Barisan Nasional backbenchers’ chairman  (BNBBC) said amendments to the Supply Bill 2021 should be made in view of the current Covid-19 outbreak circumstances.

“This budget was drawn up in face of an extraordinary situation, if we want to amend this budget it should be done because what is happening now is out of the ordinary and as voiced by Bagan Datuk (Datuk Seri Dr Ahmad Zahid Hamidi), BN demands that the government approve the a one-off EPF withdrawal of up RM10,000 and extend the loan moratorium until June 30, 2021.

ADVERTISEMENT

“Our support for this budget is subject to approval of these two matters, and as such BN support for this budget is conditional,” he said when debating the bill in the Dewan Rakyat, Tuesday.

 He said this in response to Datuk Seri Ahmad Maslan (BN-Pontian) who said throughout his experience as a Member of Parliament, the Supply Bill had never been amended, and whether this sitting would see amendments being made for the first time.

At the beginning, there was a heated argument when RSN Rayer (PH-Jelutong) questioned why Najib was given 90 minutes to start off the debate when Perikatan Nasional parliamentary council chairperson. Datuk Seri Shahidan Kassim (BN-Arau) should be the one to begin the debate on the bill for the government bloc.

Dewan Rakyat speaker Datuk Azhar Azizan Harun, however, clarified that Najib was selected as the main debater for the government bloc and as such he has been given 90 minutes, the same time alloted to Opposition leader Datuk Seri Anwar Ibrahim for the debate on Monday.

Continuing the debate, Najib said the one-off EPF withdrawal was needed to increase cash flow in the economic cycle at a time when government spending was limited, and the funds could be used by the people to settle debts or as capital to start small businesses, especially for those who have lost their jobs.

ADVERTISEMENT

“The government’s responsibility is not to deny contributors from  having access to their own money when they are desperate. The government’s focus is to find ways to recover and ensure that contributors with low savings could increase their savings at the fastest rate,” he said.

Najib said this could be done in three ways, namely by helping EPF to earn more income through lucrative projects; increasing employers and employees‘ EPF monthly contribution and change the dividend payout to a multi-tier dividend structure.

The former Prime Minister said the proposed moratorium extension for the next six months should be extended to all borrowers, including Amanah Ikhtiar Malaysia, Tekun borrowers and civil servants who had taken loans through the Public Sector Home Financing Board (LPPSA).

In the meantime, Najib reminded the government not to pursue matters opposed by the people such as the allocation for the Special Affairs Department (Jasa) which could be used to purchase face masks, and hand sanitisers for the people or given to parents as replacement for the Supplementary Meal Programme (RMT) for their children who have been denied breakfast because of the school closure.

In addition Najib also proposed that the  government implement the Look to Borneo Plan as a catalyst for nationwide medium and long term economic  growth.

He said Sabah and Sarawak had enormous natural resources and strategic locations as they are much closer to rapidly developing countries in East Asia, as compared to  peninsular Malaysia.

“Basically, the underdeveloped states will experience faster growth if given due attention and investment. It does not make sense, if we encourage companies from Malaysia to invest abroad without giving them the opportunity to invest in Sabah and Sarawak which have vast potential,” he said.