Deputy Finance Minister: Budget 2024 Will Centre On Assisting M40 Group, SMEs
Author Avatar
(Image: Malay Mail/Sayuti Zainudin)

Deputy Finance Minister II Steven Sim has commented that the upcoming Budget 2024 will be centred on assisting the M40 group as well as small and medium enterprises (SMEs). This is as both groups still need to be empowered following the lingering economic after-effects of the Covid-19 pandemic.

“Due to the Covid-19 pandemic, 20% of the M40 group has fallen into the B40 category. They are the economy generators and workforce, and they are the ones who will spend in the local economy. We want to empower them,” said Sim. Similarly, he stressed that SMEs make up 98% of Malaysia’s economy, and are, therefore, a major contributor to the country’s national income (GDP).

Sim also noted that Budget 2024 – which will be based on the key strategy of increasing the ceiling and ground limit of the economy – aims to assist entrepreneurs in restructuring and adding value to their industries. Additionally, the government hopes to bring high-tech and high-value industries into the country.

“We do not want businesses to just prosper, but also to be healthy, strong and smart, so that they can compete regionally and globally. When industries and businesses have higher-added value, they can pay better wages, preventing workers from leaving for other companies or countries. When businesses offer better wages, more job opportunities can be created, which will then improve tax collection and allow better infrastructure to be built,” said Sim.

(Image: Bernama)

Aside from that, Sim also confirmed that the goods and services tax (GST) will not be reintroduced under Budget 2024 yet, given that the economy is still in its recovery phase. If the GST is reintroduced, the prices of raw materials and items will inadvertently go up, and this will only add to the financial burden of the B40 and M40 groups – including single parents and young households – he said.

“Certain quarters have their reasons for wanting GST as some can make claims, but we see not just from their point of view, but on a wider perspective. It is also not good to say it is good or likewise, but it’s just not the right time for it,” Sim stated, adding that the government is not considering reintroducing the GST at a lower rate either since there are still other ways to increase the country’s revenue.

The reintroduction of the GST has been mooted by several quarters since early 2020, but it has not materialised to date – with Prime Minister Datuk Seri Anwar Ibrahim stressing in January 2023 that he is not in favour of reinstating or introducing taxes that could worsen the plight of the low-income group at present.

(Source: The Star)

0 0 votes
Article Rating


Comments (0)

Notify of

Inline Feedbacks
View all comments
Top Personal Finance News Articles
Top Personal Finance News Articles
Post Image
Petrol Price Malaysia Live Updates (RON95, RON97 & Diesel)
- 27th September 2023
We provide weekly updates on every Friday at 5pm on the prices of RON95, RON97 and Diesel in Malaysia and a chart that shows the movement of fuel prices across a 6-week period. Bookmark this page now!
Post Image
Astro 4K Ultra HD Broadcast To Be Available For Subscription By The End of This Year
Brian Chung
- 14th August 2018
By the end of 2018, Astro customers will be able to watch football matches in Ultra HD. Read on to know more about the 4k Ultra HD service.
Post Image
Touch n Go RFID: What Malaysian Road Users Need To Know
Jacie Tan
- 10th August 2018
Everyone’s talking about Touch ’n Go RFID being used at Malaysian highway tolls soon – here’s what you need to know about it.
Post Image
Best High Interest Savings Accounts In Malaysia (September 2023)
Pang Tun Yau
- 11th September 2023
Make your money work for you by depositing them into the best high-interest savings accounts in Malaysia!

Related articles

Related Posts Image
Related Posts Image
Related Posts Image
Related Posts Image