KUALA LUMPUR: Majlis Amanah Rakyat (Mara) has proposed for the reclassification of income categories to be discussed as a national economic agenda.
Its chairman, Datuk Dr Asyraf Wajdi Dusuki, said the existing classification of income categories does not reflect the challenges and constraints enveloping the people due the present economic situation.
"Under the existing income category classification, those earning between RM5,000 and RM10,000 are categorised as individuals belonging to the M40 category. This however does not reflect the reality (in the present situation).
"For example, if a person who is the sole breadwinner (for his or her family) earning RM5,000 with three children residing in the urban areas, that person in actual fact belongs to the B40 category due to the limited amount of his or her disposable income.
"This begs the question of whether the present terminology (existing income category classification) is still relevant or otherwise due to the constraints in disposable income," he told reporters after attending a symposium today.
The symposium is being held in the running-up of the Bumiputera Economic Congress that will take place for three days starting Feb 29 in Putrajaya near here.
This is not the first time Asyraf, who is also the Umno secretary-general, voiced his concern over the matter.
Last month in a social media posting on his Facebook, Asyraf pointed out that people in the M40 category residing in the urban area also needed to be provided with assistance and attention due to the burden that they face.
Economy Minister Rafizi Ramli last year had said that the government plans to phase out the B40, M40, and T20 income classifications this year.
Rafizi said that instead of the current classification based on fixed income, the focus would shift towards net household disposable income.
On a related matter, Asyraf said Mara has started doing away with solely looking into the household income of a person or a family when deciding on matters related to enrolment of students into Mara Junior Science Colleges (MRSM) and more than 300 education and skills-training institutions under its operation.
Mara instead will also look into other criterias such as the number of children and senior citizens under a person's responsibility and care as well as if the person is residing in the urban or rural areas.
"We have already started with this approach. This means that we will not only look into the income of the person or family. We will also consider other factors as well," he said.
Asyraf had previously said Mara would take the lead by taking into consideration other factors when deciding eligible recipients for aid and assistance to be distributed by the agency.