SHAH ALAM - The Ministry of Entrepreneur Development and Cooperatives has announced three major initiatives by Uda Holdings Berhad (Uda) aimed at easing the financial burden faced by traders and entrepreneurs in the micro, small and medium enterprises (MSMEs) sector amid the ongoing global supply crisis.
The measures were introduced following a recommendation by Prime Minister Datuk Seri Anwar Ibrahim, who urged Uda to reduce rental rates for business premises under its management.
Its minister, Steven Sim Chee Keong said Uda adopted a holistic and prudent approach in assisting business operators based in its shopping complexes and commercial buildings.
Among the key measures announced is a rental discount of up to 20 per cent, which will be implemented in two categories.
“All tenants will receive a 10 per cent rental reduction, while eligible MSME entrepreneurs will receive an additional targeted 10 per cent discount through the Uda Entrepreneur Incentive Programme. The initiative will run from May until December.
“Uda will also implement a moratorium to support MSME cash flow by allowing more flexible monthly rental payments. Affected tenants may also be allowed rental arrears of up to three months, subject to performance assessments and operational requirements,” he said.
In addition, the company will introduce Utility Cost Relief by postponing increases in operational service charges at its commercial complexes, with Uda absorbing the additional costs involved.
Uda is expected to bear costs totalling RM12.5 million in implementing the assistance measures for traders and MSME entrepreneurs, the ministry said.
The ministry described the initiatives as part of efforts to help businesses manage rising operating costs and economic pressures linked to global supply challenges.