PUTRAJAYA, June 6 ― The federal government announced Hari Raya incentive for Felda and Felcra settlers nationwide today.

Prime Minister Tun Dr Mahathir Mohamad told a news conference that the Cabinet has agreed to give a RM450 incentive payment to each Felda settler before the two-day Muslim holiday, which falls on June 15.

"For Felda, we have agreed to provide Raya incentive which will cost us RM50 million paid from government allocations.

"As for Felcra, we will also provide incentives totalling RM44 million paid out from their profit,” he said.

He said the revision was to ensure those eligible for the Cost of Living Allowance, which will replace the Bantuan Rakyat 1Malaysia cash aid programme, would not receive the incentive next year.

The incentive is expected to benefit a total of 112,725 Felda settlers along with 7,431 non-members nationwide, according to Minister of Economic Affairs Datuk Seri Mohamed Azmin Ali.

"This incentive is geared towards reducing the financial burden of these settlers to allow them to celebrate Hari Raya Aidilfitri with their family and friends,” he said in a press statement later.