MCA: Expand SARA to local shops, not just hypermarkets

 

THE Finance Ministry’s (MOF) move to include an additional 10,000 small retailers under the Sumbangan Asas Rahmah (SARA) programme by the end of 2026 is a positive and timely step that could help ease cost of living pressures while strengthening local businesses and employment opportunities, said Datuk Dr Monna Ong Siew Siew.

The MCA Public Policy and People’s Livelihood Research Advisory Committee chairperson said expanding participation to neighbourhood sundry shops and provision stores would greatly benefit small “mom-and-pop” businesses that lacked the financial strength and economies of scale enjoyed by large retail chains and hypermarkets.

She said the move would also improve convenience for consumers, particularly senior citizens and those with limited access to transportation, who currently needed to travel further to larger participating outlets.

“Beyond supporting SARA recipients, the programme can also channel spending back into local communities by increasing customer traffic for neighbourhood businesses and creating a positive multiplier effect for local economies,” she said in a statement.

Dr Ong added that the expansion could help sustain small enterprises, protect livelihoods and support local employment opportunities, particularly during challenging economic conditions.

She also urged the government to ensure the programme expansion was not concentrated solely in urban or densely populated areas, stressing that rural communities should receive equal priority.

“Residents in smaller towns and villages often face greater difficulty accessing affordable necessities due to distance and limited retail options,” she continued.

“Including rural sundry shops and provision stores under the SARA programme would improve accessibility to essential goods while stimulating local economic activity and employment opportunities.”

Dr Ong further noted that broadening participation under the programme would help ensure government assistance was distributed more fairly, instead of benefiting mainly large retail chains.

“Supporting wider participation among micro and small businesses would help ensure local operators are not sidelined amid intense competition from major hypermarkets and franchise retailers,” she stressed.

“Ultimately, the expansion of the SARA programme should not only be viewed as a welfare initiative, but also as an opportunity to strengthen local economic resilience, empower small businesses, and ensure that assistance reaches communities in a more inclusive and meaningful manner.”

On Monday (May 18), The Star reported MOF as saying that the government’s priority for the rest of 2026 is to further expaand the SARA ecosystem by increasing the participation of small retailers nationwide.

It said out of the 13,000 Sara-registered retailers, more than 5,000 are standalone grocery shops or supermarkets, including those under cooperatives.

MOF said the SARA programme remains open for registration for eligible retailers who are interested.

Eligibility criteria include being a grocery shop or supermarket that sells a sufficient range of basic food items, such as rice, milk, flour, cooking oil and canned goods. ‒  Focus Malaysia