Business Today
21 April 2026
SMEs Push For Moratorium, SST Relief As Cost Pressures Bite
Malaysia’s small and medium enterprises (SMEs) group are urging the government to roll out immediate cash flow relief by proposing a six-month targeted loan moratorium and a temporary Sales and Services Tax (SST) deferment or exemption of up to six months, as cost pressures from the global energy crisis intensify.
President of the SME Association of Malaysia, Dr. Chin Chee Seong, said while recent measures signal awareness of industry challenges, they fall short of addressing the immediate financial strain faced by SMEs.
“While these are positive steps, they are still not enough to address the real pressures SMEs are facing on the ground,” he said.
Chin said the issue goes beyond access to financing, pointing instead to worsening daily cash flow constraints as operating costs rise across the board.
“The reality is that SMEs are grappling with rising fuel, logistics, raw materials, rental and labour costs all at once. This is creating immediate financial strain that requires more direct and urgent intervention,” he added.
He noted that measures such as financing guarantees via the Syarikat Jaminan Pembiayaan Perniagaan (SJPP), while helpful, still involve approval processes and add to debt commitments.
“At this stage, the priority is survival. SMEs need to sustain operations and ensure business continuity in the short term, not take on additional debt,” he said.
Chin also called for faster access to financing under the MUDAH scheme, alongside reduced annual guarantee fees under SJPP and direct operational cash assistance.
(Web source: https://www.businesstoday.com.my/2026/04/21/smes-push-for-moratorium-sst-relief-as-cost-pressures-bite/)