Gov't mulling over stimulus package for economic impact of coronavirus

CORONAVIRUS | If the outbreak persists over a long period of time and affects China's economy, the Malaysian economy will also be affected as China is one of Malaysia's most important trading partners, said Economic Affairs Minister Azmin Ali.

"Among the sectors that can be expected to feel the impact are the tourism, aviation, transport, education, manufacturing and construction sectors.

"In this regard, the government together with international agencies and the private sector will take proactive measures based on facts and information to mitigate the negative impact of the outbreak on the Malaysian economy.

"The stimulus package that the government is considering is not only an injection of the economy but also a priority on the need to ensure the safety and well-being of the people," said Azmin (photo) in a statement today.

His statement did not provide details of the proposed stimulus package.

Azmin cited that in 2019, Malaysia received nearly 26 million tourists, of whom more than three million were from China, with the tourism sector contributing 15 percent to the country's GDP.

"In addition, the manufacturing and construction sectors that rely on input from China are also expected to be affected if China extends the quarantine period or increases the number of cities to be closed to prevent the spread of the outbreak.

"For 2020, MEA has allocated RM227 million for the purchase of medical and non-medical equipment for all health facilities nationwide.

"The MEA is also prepared to consider additional provisions if necessary. The government will give priority to the health and safety of the people," said Azmin.

He highlighted that several steps have been taken to ensure the country's readiness to deal with the outbreak in accordance with WHO's recommendation.

"The measures taken by the government include raising awareness of all the health measures that need to be taken in addressing the epidemic.

"The people are also advised to keep up to date on official sources, especially from the Health," said Azmin, who expressed his gratitude to the specialists, doctors and frontline staff for their hard work and sacrifice to help to fight the outbreak, which to date has claimed 259 lives in China.

The World Health Organisation announced a global public health emergency following the outbreak, which has spread to 24 other countries including Malaysia.