PEKAN: Malaysia is among the countries which have succeeded in helping its poor, thanks to the setting up of various government agencies and bodies such as Felda, Risda, Felcra, Mara and Amanah Ikhtiar Malaysia (AIM), says Prime Minister Datuk Seri Najib Razak.
Najib said it is a continuation of his father's legacy, the late former prime minister Tun Abdul Razak Hussein.
The Pekan MP said his father introduced the New Economic Policy, which charted the country's economic direction and had a profound impact on the people, especially rural folk and the poor.
“This we cannot deny, the position of the poor in Malaysia especially in rural areas improved due to Tun Razak’s efforts.
“As his son, I will surely continue the struggle started by my father until all his dreams become reality,” he said during a gathering of more than 2,500 people comprising AIM entrepreneurs, civil servants and the private sector at Dewan Konvensyen Sultan Ahmad Shah on Sunday.
He said the micro-financing provided by AIM had saved many from having to borrow money through loan sharks. Thanks to micro-financing, many have gone on to become successful entrepreneurs, he noted.
At the event, Najib presented an agropreneur grant of RM411,000 and allocations for 2018 amounting to RM221 million and RM27.1 million for Pahang AIM and Pekan AIM, respectively.
He also presented RM62,800 in CSR (corporate social responsibility) contribution by AIM for flood victims in Pekan.
Najib delivered further good news in announcing that the loan ceiling for two AIM schemes, I-Sejahtera and I-Wibawa, will be increased from RM10,000 and RM5,000, respectively, to RM15,000, made possible by a special allocation of RM100 million for 2018.
AIM, a private trust that operates with funds mainly from the state and federal government, had been helping the people since 1957.
AIM provides micro-financing for poor households and low-income households in Malaysia, assisting small-scale entrepreneurs including women entrepreneurs to develop their businesses.
The largest and the oldest micro-finance institution in Malaysia, AIM was registered as a non-governmental organisation under the Trustee Incorporation Act 1952 (Amendment 1981) (Act 258).
It replicated the Grameen Bank model - a concept that was born in the village of Jobra, Bangaladesh in 1976 - with some modifications to suit the local context.
As of February this year, AIM has provided financial services to 383,659 clients nationwide with loan amount totalling RM19.4 billion and repayment rate of 98.08 percent.
AIM also provides skills training and human capital development to mould entrepreneurs.
Also present at the gathering were AIM executive chairman Datuk Dr Zubir Harun and Pahang state assembly Speaker Datuk Seri Ishak Muhammad.