SELANGOR GOV'T PROPOSES FIVE PCT OF FEDERAL RESERVE FUNDS FOR STATES

SHAH ALAM, Nov 19 (Bernama) -- The Selangor government has proposed that the Federal government allocate five per cent of its reserve funds to be distributed among all states, Menteri Besar Datuk Seri Amirudin Shari said.

He said if this is approved, this proposal, currently under consideration by the Federal government, would significantly enhance the financial contributions made to state governments.

"I have suggested that five per cent of the federal reserve funds be allocated to all states, including Selangor. This would represent a substantial increase in the Federal government’s support for state governments," he said.

Amirudin was responding to a supplementary question from Muhammad Izuan Ahmad Kassin (PH-Kota Damansara), who asked about the state government's efforts to increase its revenue from the Federal government during the Selangor State Legislative Assembly sitting here today.

Amirudin added that the state government had submitted a request for additional funding from the Federal government to support the development of small and medium-sized enterprises (SMEs) in Selangor, which often require significant capital to make a meaningful impact.

"...SMEs need larger allocations, which the state government cannot provide on its own. A contribution of at least RM200,000 to RM300,000, or even up to RM1 million, is needed to effectively support these businesses," he said.

"However, for competitive businesses, many only need non-financial support, such as access to specific facilities and resources, which the state can provide through targeted policies," he added.

-- BERNAMA