PUTRAJAYA, Jan 5 — The 1Malaysia People’s Aid (BR1M) is benefiting over seven million of the population, especially the poor, to lessen their household burden, said Treasury secretary-general Tan Sri Dr Mohd Irwan Serigar Abdullah.

He said the low-income group used the money to buy basic needs such as food items like rice.

“BR1M helps the real poor; they really hope for BR1M. They’re expecting BR1M to be given this February to reduce their household burden,” he told a news conference on BR1M at the Treasury, here, today.

Urging all parties not to politicise BR1M when over seven million of the population including the poor was benefiting from it, Mohd Irwan Siregar said:

“When you take away BR1M, you are depriving the poor in terms of their cost of living.”

“On one hand, you are criticising the cost of living and on the other hand, you are criticising BR1M. I don’t understand,” he said, adding that complaints about BR1M were made by the rich.

Mohd Irwan Serigar said the latest study conducted by Universiti Kebangsaan Malaysia (UKM) found 83.4 per cent of the respondents among the B40 low-income group agreeing that BR1M should be retained.

He said the study was still in the review stage and the outcome would be announced to the public soon.

Mohd Irwan said studies done by the International Monetary Fund (IMF) and World Bank clearly proved that bulk subsidy rationalisation should be done, for subsidies to really benefit those in need.

He said before BR1M was introduced, the group of professionals including from the Finance Ministry, Economic Planning Unit and Bank Negara Malaysia opined that a new mechanism should be implemented to lessen the effects of the rising cost of living on the low-income group.

Mohd Irwan said when BR1M was introduced in 2012, it was much welcomed by the low-income group, besides being commended by the IMF and the World Bank.

Meanwhile, he said, the government was working at enabling BR1M recipients who possessed no car to use the money as down payment to buy a Proton Iriz and then be a ride-sharing driver like the Uber driver to generate additional income.

He said the new idea to be implemented this year, would enable BR1M recipients to enjoy upward mobility and move out of the B40 group into the M40 or middle-income group.

“Discussions are being held and Proton may give a discount of RM4,000 and so on to enable them (the recipients involved) to own a car.

“A part-time Uber driver alone can earn RM4,000 to RM7,000 per month,” he said.

BR1M 2017 will be paid in three stages — in February, June and August. — Bernama