Over 30k companies shut down since March, highest number in Aug

 

COVID-19 | More than 30,000 businesses have shut down since the start of Covid-19 pandemic up to September this year, with a majority failing to revive operations after a gradual reopening of the economy since June.

Entrepreneur and Cooperative Development Minister Wan Junaidi Tuanku Jaafar (above) said the highest number was recorded in August with 17,800 companies and businesses closed.

According to the Companies Commission of Malaysia's data, the initial movement control order (MCO) period from March 18 to June 9 saw 9,675 businesses and companies closed, and the subsequent recovery period saw another 22,794 operations shuttered.

In the initial MCO phase, a large number of businesses in sectors deemed as non-essential were ordered to close, while those that remained open could only do so under strict standard operating procedures.

Wan Junaidi said the ministry had conducted two online surveys from April 10 to April 17 and from July 15 to July 17 - during the initial MCO and the following recovery period.

The survey found 8.85 percent of owners ended their businesses during the MCO period, while 1.39 percent made the same move during the recovery period.

It was also found that micro-entrepreneurs made up the majority, or over 70 percent of closed businesses during the period.  - Mkini