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EPF Withdrawal: Not the best solution

Nov 03, 2020

Accessing EPF members’ Account 1 savings to address the daily challenges caused by Covid-19 could result in contributors facing bigger problems in the future.  

Head of Research at the Malaysian Institute of Economic Research, Dr Shankaran Nambiar feels that the government should instead come up with initiatives to lessen the burden of the people…  

“That I suppose can be done in a number of ways, you could have an  employment retrenchment scheme, an extension of the wage subsidy scheme, and you  can’t rule out the need for an extensive cash transfer scheme. These are difficult times, and the government has to extend support to the most disadvantaged.”  

Meanwhile, over 75% of respondents in an online voting poll by Astro Radio News agree that EPF contributors should be given a leeway to withdraw from Account 1 during this pandemic time.  

Prime Minister Tan Sri Muhyiddin Yassin has instructed the National Security Council to review rules for sports and social activities.  

He says this is necessary in view of the increase in Covid-19 cases in Negeri Sembilan, Melaka, Perak, and Johor.  

This as we reported 834 new coronavirus cases yesterday, taking the total number of infections to surpass 33,000  

The Health Ministry has reported 5 new Covid-19 clusters, while the Sungai cluster that went on to infect 101 people in Kedah and Perlis has been declared inactive.  

The new clusters bring the number of active clusters in the country to 138.