KUCHING:Kuching Chinese General Chamber of Commerce and Industry (KCGCCI) secretary-general Jonathan Chai Voon Tok welcomes the move by the government to extend the moratorium on bank loans for another three months for targeted groups.
As announced by Prime Minister Tan Sri Muhyiddin Yassin on Wednesday, the extension was for individuals who had lost their jobs this year and those who were employed but had had their salaries reduced due to the Covid-19 pandemic.
“Such a move would help the affected individuals to overcome their financial constraints during this difficult time,” said Chai when contacted yesterday.
“Of course, we understand the problems encountered by the banks should the comprehensive moratorium be further extended as it would limit the capabilities of the banks to give out loans to those individuals and businesses which require financial assistance for personal consumption or working capital,” he said.
He pointed out that, as disclosed by Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz recently, banks suffered estimated losses of RM6.4bil over the six-month moratorium.
He added that the Muhyiddin had also revealed that banks might allow borrowers to make interest payments only for a period of time on a case-by-case basis, alongside other options offered.
“Those businesses badly affected by the Covid-19 pandemic are advised to make full use of the flexibility provided by the banks to pull through this difficult time arising from the movement control order enforced by the government to fight the outbreak of the pandemic,” said Chai.
