CIMB lauds govt’s initiative to focus on cashless agenda in Budget 2020

A man walks into a branch of CIMB bank in Kuala Lumpur August 6, 2019. — Reuters pic
A man walks into a branch of CIMB bank in Kuala Lumpur August 6, 2019. — Reuters pic

IPOH, Oct 11 — CIMB Group Chief Executive Officer Tengku Datuk Seri Zafrul Aziz today welcomed the government’s initiative to advance the country’s cashless agenda by boosting the use of e-wallets, through the one-time RM30 digital stimulus per qualified Malaysian.

He praised the government’s sharper focus on advancing the nation’s digital transformation, while also ensuring the benefits will be broad-based, enabling all segments of society to capitalise on the country’s adoption of 5G and other new technologies.

“This is clear from the tax incentives for knowledge-based foreign investors and encouraging a cashless society, to piloting technology like autonomous vehicles and blockchain,” he said in a statement.

He also added that the Budget truly reflects the government’s shared prosperity vision, carefully curated to benefit Malaysians, and main segments like small and medium enterprises (SMEs) and the B40 group.

“Enabling policies for SMEs to embrace digital in running their business is well thought out. Going digital is crucial for them to capitalise on the potential afforded by the regional and global e-commerce industry,” he said.

Zafrul also pointed out that the government’s incentives on the development and certification of halal businesses, which will feed into the global halal market valued at US$3 trillion (RM14.2 trillion) is an additional boost to SMEs.

“In tandem with this objective, we are ever-prepared to assist SMEs to leverage on CIMB Islamic’s Halal Corridor for them to capture part of that fast-growing Halal market,” he said.

He also said CIMB also looks forward to Bank Negara Malaysia’s announcement on the digital banking licence, which the bank will definitely consider.

“We welcome the government’s support for SRI Sukuk, as well as tax incentives for investments in renewable energy technology right through to 2023.

“In particular, the generous 10-year 70 per cent tax exemption for solar leasing technology, together with CIMB’s SME Renewable Energy Financing package will be a definite boost to SMEs’ adoption of renewable energy. All these will help support the nation’s move towards an eco-friendlier operating landscape,” he said.

“In moving towards a more sustainable social agenda, policies for the B40 segment are predicated on a good balance between direct assistance and enablement, which is crucial to ensure that as many of them as possible are able to help and advance themselves economically,” he added.

Overall, Zafrul said that the Budget is a good combination of conservative and creative measures that will collectively drive the nation towards a path of long-term sustainable and inclusive growth.

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