PUTRAJAYA, March 23 — Malaysians are now allowed to withdraw a maximum of RM500 monthly from their Employee Provident Fund (EPF) to buy essential goods amid the worsening Covid-19 pandemic, Prime Minister Tan Sri Muhyiddin Yassin announced today.
Muhyiddin said all Malaysians aged 55 and below are eligible to withdraw from their EPF Account Two for a period over 12 months.
“Even though the amount is insignificant, but these are money by the sweat of your brows that should be used when we retire in the future which the government has now allowed to be utilised at this time.
“This initiative worth RM40 billion in withdrawals is expected to benefit almost 12 million EPF users with application set to open up beginning April 1,” he said in a special press conference at the Prime Minister’s Office here.
Muhyiddin’s announcement follows after Malaysia registered its 11th Covid-19 death today with 1,306 Covid-19 cases reported to date.
Malaysia also entered the sixth day of the movement control order (MCO) currently enforced nationwide that will last until March 31.
Muhyiddin also said he hoped this initiative and the government’s move to reduce the statutory contribution rate for employees by four per cent (from 11 per cent to seven per cent) will put more money in workers’ pockets to purchase their daily necessities.
The reduced rate of contribution set to take effect on April 1, as announced by the previous Pakatan Harapan government, was intended to cushion the blow from the economic fallout following the global Covid-19 outbreak.
“My advice to all of those benefiting from this is to use the money wisely. Buy only necessary items in these trying times.
“Most importantly, ensure there is food on the table for the family. Maybe some of the money could be used to pay for your utility bills or rentals,” he said.
Muhyiddin’s announcement was one of the several initiatives announced by the government earlier today to alleviate the financial burden faced by the people amid the worsening Covid-19 outbreak and the MCO.
