Budget 2021 To Boost Digital Economy Khazanah Research




Budget 2021 is an important step to enable the nation to face the COVID-19 crisis squarely and move forward with hope and confidence, says Khazanah Research Institute (KRI) chairperson Nor Mohamed Yakcop.
He said the Covid-19 pandemic has sped up the country’s nascent digital transformation and makes the issue of digital policy more pressing than ever before.
The Budget 2021 allocation of RM150 million to encourage local entrepreneurs to adopt digital services through small and medium enterprises (SMEs) and micro SME e-commerce campaign should stimulate the digital economy in the country, he added.
“Recognising the need for digital upskilling in the workforce to enable more meaningful participation in the digital economy, Budget 2021 has also included a RM100 million allocation through the Malaysia Digital Economy Corporation (MDEC) to provide ICT training to the current workforce,” he said.
Finance Minister Tengku Zafrul Abdul Aziz tabled Budget 2021 in Parliament on Friday.
In terms of digital inclusivity, Nor Mohamed said the RM180 telecommunication allowance for B40 households and RM500 million allocation for internet connectivity in 430 schools is encouraging.
In addition, he said the budget showed the government’s commitment to spur employment opportunities at large, benefiting youth and young graduates in particular.
He said the Employment Generation Guarantee Scheme (JanaKerja), Short-Term Employment Programme (MySTEP) and an extension of targeted wage subsidy measures are timely and would provide more opportunities for Malaysians in the job market.
“Through these initiatives, more than 500,000 new jobs are targeted to be available next year. Budget 2021 should positively impact the country’s job market,” he said.
In the face of the Covid-19 pandemic, he said the government has made the highest ever allocation for health, signalling a clear commitment to ensuring that the country’s health system is well-positioned to handle the pandemic, in addition to other non-Covid health needs of the population.
“In addition to allocations specific to Covid-19, we support the inclusion of several measures to increase the overall resilience of the rakyat against various diseases, including the RM90 million allocation to the pneumococcal immunisation programme that is expected to protect 500,000 children,” he said.
Furthermore, the recognition of mental health conditions as a serious problem is laudable, particularly in light of Covid-19.
“Budget 2021 allocations for health will undoubtedly enable Malaysia to be in a strong position to tackle the ongoing public health crisis,” he added.
- Bernama


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