PUTRAJAYA: The implementation of Movement Control Order 2.0 (MCO) is expected to cost the economy about RM600 million daily compared to an estimated RM2.4 billion incurred per day during the first MCO.
This, said Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, is due to the government's decision to allow five essential economic sectors encompassing 37 related activities to operate throughout the two-week MCO until Jan 26.
At a media briefing on the Perlindungan Ekonomi dan Rakyat Malaysia (Permai) assistance package today, Tengku Zafrul said the government would maintain its gross domestic product (GDP) growth projection for now.
"As announced yesterday, the impact of the current MCO on the economy this year is expected to be manageable. That is why the government has rolled out the Permai assistance package.
"Although there are economic sectors allowed to operate throughout the MCO 2.0 period, we cannot take things for granted. The (Permai) package was formulated for businesses affected by the re-implementation of the MCO.
"If the 2021 Budget was meant to revive the economy, the Permai assistance package is to paper the cracks during the MCO," he said.
The Permai assistance package, comprising 22 initiatives with a total value of RM15 billion, was unveiled by Prime Minister Tan Sri Muhyiddin Yassin yesterday.
It marked the fifth economic stimulus package rolled out by the government to combat the Covid-19 pandemic, with an overarching goal of safeguarding the welfare of the people as well as supporting business continuity.
Tengku Zafrul also dismissed views by a research house that the direct fiscal injection under the Permai assistance package was only around RM2 billion.
"There are three objectives under the Permai assistance package. And there are eight initiatives planned under the second objective of the Permai assistance package, which is to safeguard the welfare of the people.
"All of these eight initiatives will involve a RM6.38 billion fiscal injection (from the government," he said.