KUALA LUMPUR: The Employees Provident Fund (EPF) has lauded 2024 Budget as an important step forward to prioritise the financial security and prosperity of Malaysia's aging population.
Under the 2024 Budget, the government has increased the matching incentive for the i-Saraan programme, expanded the i-Sayang programme to husbands, extended the i-Suri programme with matching contributions and the maximum incentive amount for housewives, as well as introduced a flexible EPF account which allows contributors access at any time.
Chief executive officer Datuk Seri Amir Hamzah Azizan said with a concerted effort to strengthen EPF's resources and retirement allocations, this budget highlights the unity government's commitment to ensuring the dignity and comfort of its citizens.
"The old-age wellbeing of the Rakyat remains one of the government's priorities, due to the low level of protection under the formal pension and retirement schemes among Malaysians.
"Currently, only 60 per cent of the labour force is covered under formal retirement schemes, namely the EPF Scheme for private workers and the Civil Service Pension Scheme for civil servants," he said in a statement today.
Amir Hamzah noted that the low level of savings among EPF members also needs to be addressed to ensure that they can retire comfortably and meaningfully in their old age.
Therefore, he said it is important that the current situation is addressed by bridging the savings and coverage gap that exists in the pension and retirement system in Malaysia.
Amir Hamzah also added that the EPF is confident and believes that this initiative can help Malaysians increase their retirement savings and foster harmony and wellbeing in the family unit.
"As a retirement fund, the EPF supports and will work with the government in realising the aspirations of Malaysia Madani to ensure the retirement life of Malaysians is secured," he said, adding that the initiatives announced during 2024 Budget are subject to Parliament's approval.