Targeted moratorium extension provides much-needed breathing space - FMM
The targeted moratorium extension and restructuring initiatives announced by the government will provide a much-needed breathing space to individuals and small and medium enterprises (SMEs) affected by Covid-19, according to the Federation of Malaysian Manufacturers (FMM).
Its president, Soh Thian Lai said the move would help the SMEs that were still suffering to regain their business momentum given the soft domestic and global markets.
The targeted moratorium extension and restructuring initiatives announced by the government will provide a much-needed breathing space to individuals and small and medium enterprises (SMEs) affected by Covid-19, according to the Federation of Malaysian Manufacturers (FMM).
Its president, Soh Thian Lai (photo, above) said the move would help the SMEs that were still suffering to regain their business momentum given the soft domestic and global markets.
“The industry requests that the process for the restructuring of loan repayments be made simple and seamless, allowing the industry to focus their time and efforts towards rebuilding their businesses,” he said in a statement today.
Soh said it was understood that the initiative would be based on the individual banks’ commitment and was not a directive from the government, thus giving the banks the discretion on whether to provide the flexibilities stated.
"SMEs have little negotiation clout with their bankers, so we hope that the restructuring process could be facilitated well," he said.
The federation also reiterated its earlier requests for further assistance in a few areas which have a significant cost impact on businesses.
The areas include consideration for moratorium or restructuring of repayments for leasing of machinery and a six-month moratorium from the date of disbursement on all of the National Economic Recovery Plan (Penjana) financing schemes.
- Bernama
