Prime Minister Tan Sri Muhyiddin Yassin has announced that Malaysians can soon withdraw up to RM500 a month from their EPF Akaun 2 to ease cash flow problems during the Covid-19 outbreak.
In a televised announcement, the Prime Minister stated that from 1 April 2020, EPF members below age 55 can make withdrawals from their EPF Akaun 2 of up to RM500 per month for 12 months.
This, combined with the lower contribution rate of 7% announced as part of the Economic Stimulus Package, Malaysians will have more money in their pockets that can be used to purchase daily necessities as well as to pay bills.
The Prime Minister also stressed that even though this money is meant for retirement, the Government is offering this option to withdraw as there will be Malaysians who will need it in this trying time.
This initiative is expected to be available for up to 12 million EPF members who are below 55 years of age, and the Government has estimated a total withdrawal of RM40 billion.