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KUALA LUMPUR: More than 6,000 small and micro businesses have benefited from iTEKAD, a social finance programme launched during the Covid-19 pandemic’s peak, where they are experiencing a 90% increase in monthly sales, according to Bank Negara Malaysia (BNM).

“iTEKAD is a human example of how the public and private sector can come together to make a meaningful, lasting impact in the lives and livelihoods of Malaysians,” central bank governor Abdul Rasheed Ghaffour said in his welcoming address at BNM Sasana Symposium 2024 today.

He stated that last year’s symposium, its very first, underscored the urgency of structural reforms to build a stronger Malaysia.

“Building on that, the focus this year is on how we should advance these critical reforms – how we can make reforms a reality,” he said.

The governor added the case for reforms is clear, with economic environment constantly changing, and as it spots risks and weaknesses, policies must evolve to match.

“Reforms, from fiscal responsibility to improved social safety nets and enhanced climate resilience, are crucial to our country’s sustainable growth, and to the welfare of the rakyat,” he stressed.

Drawing on lessons learnt over the years and emerging challenges, he said policymakers now have a clearer view of the path towards a more competitive and inclusive Malaysia.

“The current period of relative macroeconomic stability provides us with a unique window of opportunity to pursue meaningful reforms and build a brighter future,” said the governor.

For instance, he said the shift from blanket subsidies, including for diesel, towards support that is better targeted to those in need should be welcomed as a positive step towards more equitable, sustainable policies while building fiscal policy space.

“We cannot, nor should we, assume that this window will not soon close upon us. We need to come together to make reforms a reality for Malaysia,” he added.

However, as the country implements the critical reforms needed, there are questions that it must address, said Abdul Rasheed.

“First, how can we make the best of emerging global trends, harnessing them for the benefit of Malaysia? Second, how do we ensure that the necessary reforms yield sustainable, long-term gains while still addressing short-term issues? Third, how can we build and promote more sustainable, socially conscious and fair finance for households and businesses?”

The governor reiterated that the central bank aims to provide a platform where we can reason together on the issues and realities facing our economy, find common ground, challenge perceptions and through this process, strengthen resolve to make reforms a reality.

Source: https://thesun.my/business/itekad-has-benefited-more-than-6000-small-micro-businesses-BA12564476