KUALA LUMPUR: The provision of eWallet credit of RM100 under eMadani to 10 million Malaysians is not expected to cause a rise in inflation in Malaysia.
Deputy Finance Minister I Datuk Seri Ahmad Maslan said this is because the total amount of RM1 billion allocated for this initiative is very little when compared to the gross domestic product (GDP).
"eMadani does not cause inflation because the money in the market (money market) is RM1 billion, if we multiply it by three, which is called the multiplier effect, it will be RM3 billion.
"This RM3 billion will not affect the RM1.8 trillion total national economy or GDP.
"Bank Negara considers that it does not raise the national inflation rate," he told Bernama when met here as a guest for the 'Apa Khabar Malaysia' programme on Bernama TV today.
Earlier, Prime Minister Datuk Seri Anwar Ibrahim said the one-off assistance will be open from Dec 4, 2023 to Feb 20, 2024.
It is an initiative from the Ministry of Finance (MoF) launched to promote the digital economy and foster a cashless payment culture, benefiting 10 million eligible adults with an allocation of RM1 billion.
In the meantime, when asked about the public's complaints regarding the problems encountered when redeeming the eWallet credit on the platforms provided, Ahmad Maslan said it was because many people wanted to access the aid at the same time causing congestion.
"Perhaps there are too many people accessing the platforms on the first day. But I'm sure by the next few days, the people know that they can apply until February.
"So there is no need to rush to register, we have a lot of time and four platforms to redeem eMadani," he said.
Therefore, Ahmad Maslan advised the public who are eligible to receive the assistance not to rush to redeem the e-credit as the redemption period is still long and will continue until Feb 20, 2024. - Bernama