PM: Government To Review Bankruptcy Threshold
Author Avatar
(Image: The Star)

Prime Minister Datuk Seri Ismail Sabri Yaakob has said that the government will review the country’s bankruptcy threshold, following the worrying spike in bankruptcy cases being reported as of this year. This is especially the case among Malaysian youths.

According to the prime minister, the government may reintroduce its previous approach of increasing the bankruptcy threshold to help alleviate this situation. For context, the Malaysian Department of Insolvency (MDI) had increased the bankruptcy threshold once back in 2020 – from RM50,000 to RM100,000 – to help the public cope with financial difficulties during the Covid-19 pandemic.

“The government previously increased the threshold during the pandemic, and legal actions (against defaulters) were delayed. Looking at how things are now, the threshold will be reviewed, and God willing, I will discuss this with the Minister in the Prime Minister’s Department (Parliament and Law) to look into the relevant Act. I will also meet the Bank Negara governor to see what can be done from the legal perspective,” said Datuk Seri Ismail Sabri.

(Image: The Malaysian Reserve)

Last month, the MDI revealed that there were as many as 287,411 bankrupt individuals in the country as of March 2022. Most were forced to declare bankruptcy due to their inability to clear loan debts. Additionally, most of the bankrupt cases involved private sector workers and businessmen, aged between 35 and 44 years old.

“I am worried when I look at the figure, and I am even more afraid of the possibility that it can increase, which is why this government will do its best to serve the youth. Believe me, the youth agenda is our priority,” said the prime minister, who also urged employers and companies to create more job opportunities for the younger generation to prevent early bankruptcy.

(Source: New Straits Times)

0 0 votes
Article Rating


Comments (0)

Notify of

Inline Feedbacks
View all comments
Top Personal Finance News Articles
Post Image
Petrol Price Malaysia Live Updates (RON95, RON97 & Diesel)
The RinggitPlus Team
- 17th August 2022
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 (May 2022)
Pang Tun Yau
- 31st May 2022
Make your money work for you by depositing them into the best high-interest savings accounts in Malaysia!

Related articles

Related Posts Image

CIMB Launches New Mobile Banking App, CIMB Octo

Jacie Tan -
2nd February 2021
Related Posts Image
Related Posts Image
Related Posts Image