KUALA LUMPUR, Feb 11 (Bernama) — The proposed economic stimulus package is expected to address the cash flow problem affecting businesses, among others, in the wake of the 2019 novel coronavirus (2019-nCov) outbreak.
The government is also expected to introduce initiatives to encourage domestic spending and spur tourism to generate business growth through higher domestic demand.
An announcement on the stimulus package will be made soon, the Ministry of Economic Affairs’ Economic Action Council (EAC) secretariat said in a statement today.
The second EAC meeting for 2020 was held in Putrajaya today and chaired by Prime Minister Tun Dr Mahathir Mohamad.
The meeting specifically discussed the impact of 2019-nCoV outbreak on the country’s economic growth.
Among the sectors identified to be most affected by the outbreak are the services industry such as tourism, retail and aviation.
In this regard, the EAC said the Ministry of Finance was in discussions with various ministries, agencies and industries, as well as service providers to seek input for the economic stimulus package.
During the meeting, the EAC also discussed proposals to reform the local capital market to help it grow and develop inclusively.
The proposals are in line with the changing capital market and financial technology landscape, as well as meet the expectations of industry players and investors.
At the same time, the move would further strengthen the regulatory and institutional foundation.
For this to materialise, the EAC has agreed that the existing forum should be proactively streamlined to allow stakeholders, including securities regulators, capital market authorities and the central bank, as well as industry players to work more closely together.
In line with the Shared Prosperity Vision 2030 and the principles of inclusive development, the meeting also discussed on proposals on holistic development and upgrading of the socio-economy of the Orang Asli community.
Among major issues touched were ownership and development of the community’s customary land, access to health services, education and skills training, provision of basic infrastructure and economic development.
The EAC also agreed that a more specific action plan needed to be implemented soon to address the issues with the cooperation of all state governments.