Public demands ‘fatter’ BR1M

Though well received, BR1M has ignored the middle income group and distribution is questionable.

Budget2014 Feature

PETALING JAYA: 1Malaysia Financial Assistance or popularly known as BR1M (Bantuan Rakyat 1Malaysia) is a cash payment introduced by the government to alleviate the burden of low income earners in facing the rising cost of living.

The initiative was mooted during the 2012 budget. RM500 was distributed to households with income less than RM3, 000 per month.

Upon the success of the first distribution, the government decided to make a second cash payment to the same group under BR1M 2.0 in February 2013 just before the 13th general election (GE 13).

It is estimated that a total of 6.8 million households and unmarried individuals – 88.1 percent of all applications – were beneficiaries of the BR1M 2.0 aid; with up to RM2.9 billion disbursed by the government.

As part of its GE13 manifesto, Barisan Nasional further pledged to increase the BR1M aid up to RM1,200 per household and RM600 to unmarried individuals.

In a random survey among Malaysians on BR1M, FMT received mix reactions from professionals and non-professionals.

Nor Safwan, an executive with an information security firm, said that the financial assistance distributed has indeed helped in settling some of his outstanding debts.

He further added that the government should monitor and do proper vetting on the BR1M applicants as he noticed some wealthy citizens receiving the aid too.

Nevertheless he expressed his gratitude to the government for the financial assistance and hopes that more will be given in the future to ease the household burden.

‘We need more aid’

On the contrary, graphic designer Edwan Aidid’s application for BR1M was turned down as he was classified as middle income earner.

In dissatisfaction Edwan said that the rising cost of living is even hitting the middle income earners and it’s high time the government provide them some financial aid.

Edwan added that he hopes the upcoming budget will look into their plight too.

Airport limousine driver T Vellykanno said that BR1M was helpful only in settling minor household debts.

He also added that the government should look into the rising living cost and ways to tackle the problem or provide other financial assistance to the lower income group.

“Today if you go to the market, we end up spending more than RM100 compared to much less 80s or in 90s,” said Vellykanno

Another taxi driver G Vijean also shares the same view.

“Have a better system and subsidies to assist the lower income group. We need more aid,” said Vijean.

He further stressed that the government should keep to its promises in giving the next BR1M 3.0 as pledged in the BN manifesto.

[This is part of a continuing series in the run-up to the Budget 2014 to be tabled by the Finance Minister on Oct 25.]