What BR1M really is and for
The Malaysian government has affirmed its resolve to help poor household who earns less than RM 3 000 a month through continuing to provide them with the br1m 3.0 aid. The primary objective of this aid is to cushion the people from the effects of rising cost of living and to stabilize fuel subsidy. This move was announced by Datuk Seri who is the finance minister who also announced that there are plans to with time include the people earning between RM 4 000 and RM 5 000. The households in this bracket currently do not get aid from the government but there were considerations to include them during budget preparation so that they can also get help as time progresses. He announced this during pre-budget reading where he also said the purpose of the government doing this is to keep promise of the pledges they made to the people.
The announcement by the Malaysia government about the br1m 3.0 aid being increased to cover more households was received with mixed reactions with the main contention being how the aid would be divided. Some people claimed that the people already receiving the aid now should not get the same quantities with those proposed to be included. These people argued that those to be included should receive less than what the current beneficially receive since they already earn more. However, the government did not give details on how the aid would be subdivided amongst the deserving households when that time comes.
The governments ability to successfully expand the br1m 3.0 aid has also been questioned by some people. These doubts were based on the fact that Malaysia has continuously experienced budget deficits since the year 1998. The country’s debt has also risen to fifty four percent of the Gross Domestic Product (GDP) which is the highest amongst the twelve emerging economies in Asia. These doubts compelled the minister to say that the expansion in aids might not necessarily be in form of cash. Instead, the government can look for other ways to ensure that every needy household gets the deserved assistance. He also said that people being able to afford things they need will have an impact on different businesses since they will also grow. But he was cautious by saying that even if the government is going to offer aid, people must not expect that the government will spend everything and be left with no money to finance daily operations. This is a clearly a way of telling people not to have too high expectations.
The plans to expand the br1m 3 aid also received equal support especially from the people who proposed it and those who were to be included in the plan. The people who came up with the proposal from the government gave justifications that the plan was viable and the general economy would improve. The beneficiaries of the aid supported it mainly because their livelihoods would also improve. This clearly shows that the governments of Malaysia and the people in general have realized the benefits of the br1m. 3.0 aid and hence the need to include more people of the lower earning bracket so as to ensure that the economy grows in all aspects and hence the government should go ahead and give the financial assistance. Borang br1m 3 will be available in November or January next year.