

300,000 COPIES DAILY Member of Audit Bureau of Circulations (Malaysia)

30 SEN for delivery to your doorstep

Award winning newspaper

for public service reporting
and opinion writing.

No. 4713 PP 2644/12/2009 (023092)

Wednesday
March 11, 2009
TELLING IT AS IT IS www.sun2surf.com

» Ruler: Focus on common values pg4 » Dalai Lama: Thousands killed pg10 News without
borders
Singing pg19
with Mraz MINI-BUDGET
HIGHLIGHTS

RM60bil fix
WHO GETS WHAT
WAGE EARNERS:
» Housebuyers given tax relief on
interest paid on housing loans
up to RM10,000 a year for three
years;
» Tax exemption under retrench-
ment benefit raised to RM10,000
from RM6,000 for each
completed year of service;
» The government will issue RM5
billion in syariah-compliant
Savings Bonds this year. The
AMID A WIDER AND DEEPER GLOBAL ECONOMIC CRISIS, bond will have a maturity of three
years, with an annual return of
5% and will be paid quarterly.
NAJIB UNVEILS COMPREHENSIVE PACKAGE OF REMEDIES All citizens aged 21 and above
are eligible. Minimum investment
of RM1,000 and a maximum of
ZULKIFLI ERSAL/THESUN

by Maria J. Dass RM50,000.

newsdesk@thesundaily.com » RM674 million to subsidise
prices of necessities, such as
ETALING JAYA: Datuk sugar, bread and wheat flour.

P Seri Najib Abdul Razak

yesterday unveiled a RM60
billion mini-budget to save
the economy from severe
recession, setting a time frame
of two years for the money to be
spent.
»
»
RM480 million to ensure that toll
rates are not raised.
RM20 million to improve
facilities of day-care centres for
the elderly, improve manage-
ment of women shelter homes
and increase facilities for child
The package, which is more care centres;
comprehensive and wide-rang- » Increase the number of scholar-
ing than the first one unveiled ships for entry into local private
last November, is targeted at universities;
workers, consumers, investors, » Government-linked Companies
small and medium businesses, to set up 10 not-for-profit private
exporters and unemployed schools.
graduates.
The deputy prime minister BUSINESSES:
and finance minister said the » Effective Feb 1, levy payments
government is confident the to human resource develop-
deficit that will be created can be ment fund exempted for six
financed from domestic sources months for textile, electrical and
given the ample liquidity in the electronic industries;
domestic financial system. » Effective April 1, levy payment
The size of the allocation will rate to be reduced to 0.5% from
bring smiles to many quarters as In view of the deteriorating 1% for all employees for a two-
it exceeds their expectations. Gua global economy, the Second year period;
Musang MP and former finance
Stimulus Package is significantly » Working Capital Guarantee
minister Tengku Razaleigh Ham- Scheme totalling RM5 billion to
zah had suggested RM30 billion larger and more comprehensive, provide working capital to com-
while Penang Chief Minister Lim
Guan Eng wanted a RM50 billion
encompassing various economic panies with shareholder equity
below RM20 million;
expansionary budget. sectors and target groups. In » Financial Guarantee Institution
However, after the announce-
ment, while there were thumbs-
addition, the measures outlined with an initial RM1 billion in
paid-up capital to provide credit
up all round, some opposition in the Stimulus Package not to companies intending to raise
MPs felt that the mini-budget
did not have enough immediate
only focus on stimulating the funds from the bond market.
Bonds totalling RM15 billion will
measures for the small man, economy in the short-term but be raised under this facility;
and in fact, benefited corporate also on building the long-term » Rights issues by listed companies
Malaysia more. will no longer need Securities
In announcing the details in capacity of the economy.” Commission approval;
Parliament, Najib said the second » Code on takeovers and mergers
stimulus package will have four no longer applicable to private
thrusts: limited companies;
as being “too small” to have sources: for this year alone where half Najib on the » Only the Securities Commis-
» REDUCING unemployment any impact on the economy. will go towards operating way to table sion has to be informed of any
and increasing employment This time, however, the finance » RM15 billion – Fiscal expenditure and the other half his bag of amendments to the terms and
opportunities (RM2 billion); minister’s reading of the injection for development. This was the goodies in the conditions of bonds and sukuk
country’s economic health amount that was reported last Dewan Rakyat issuance;
» EASING the burden of the was closer to grim, given the » RM25 billion – Guaranteed week as being part of a bigger yesterday. » Convertible and exchangeable
Rakyat, in particular vulnerable rapidly-changing world scenario funds allocation. bonds exempted from manda-
groups (RM10 billion); (see page 2). The higher expenditure tory rating requirements;
Describing the present crisis » RM10 billion – Equity invest- will increase the government’s » Permanent Resident status will
» ASSISTING the private sector as severe compared to the ments budget deficit from 4.8% to 7.6% be considered for high net worth
in facing the crisis (RM29 billion); economic downturns of 1969, this year. individuals bringing more than
and 1972, 1986 and 1997, Najib said: » RM7 billion – Private finance Najib said the government Full text US$2 million for investment or
“The RM60 billion stimulus initiatives (PFI) and off-budget was confident that the national of speech savings in Malaysia;
» BUILDING capacity for the package which accounts for projects fiscal policy had the flexibility
on www.
» High-skilled foreign profession-
future (RM19 billion) almost 9% of the GDP, will be and capacity to accommodate als may also be considered for
implemented over two years » RM3 billion – Tax incentives the higher deficit as this increase sun2 surf. Permanent Resident status;
This is Najib’s second eco- – 2009 and 2010.” was temporary, adding that the com » Investments between March 10,
nomic package. The first one, The RM60 billion stimulus Najib said RM10 billion of federal government’s debt ratio
worth RM7 billion was criticised will come from the following the fiscal injection is allocated was still at a prudent level. » Turn to Page 2