Image credit: Malay Mail
KUALA LUMPUR (Dec 21): The Small and Medium Enterprises Association of Malaysia (SAMENTA) is urging the government to offer a moratorium on loan repayments for small and medium enterprises (SMEs) badly affected by the recent floods.
In a statement, the association estimated that some 12,000 to 18,000 small and medium enterprises (SMEs) have been affected by the disaster, with many of its members reporting severe damage to vehicles, machinery and stocks, some of which run into millions of ringgit.
While it thanked the government for offering up to RM500,000 in soft loans via Bank Negara to SMEs affected by the floods, it said the the government should take one step further by announcing a three-month interest-free moratorium on loan repayments for those affected.
It also highlighted that the disaster happened at a difficult time for businesses — when SMEs are just getting back on their feet after the long lockdowns.
"We also urge the government and police to ensure the reported looting of shops and warehouses are not repeated. We also appeal to insurance companies to process any claim expeditiously, so that we can recover from the floods as soon as possible," said the association's chairman Datuk William Ng.
Meanwhile, Ng said SAMENTA has activated its own task force to help those affected by the floods and is delivering supplies to households who need them.
He also encouraged SME owners who faced damages to make a police report and send SAMENTA a copy of it to central@samenta.org.my so that the association can assist in coordinating assistance from governmental agencies.
Source: https://www.theedgemarkets.com/article/samenta-govt-should-announce-moratorium-floodaffected-smes