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Certain businesses given green light to operate during MCO

KUALA LUMPUR: Several sectors involving key areas have been given the green light to resume operations in stages under the Movement Control Order (MCO) period, which has now been extended for another two weeks until April 28.

Among the services allowed to operate are hair cut service (hair cut only), launderettes (not self-service laundromats), hardware stores, electrical and electronics stores and optical shops.

Senior Minister Datuk Seri Mohamed Azmin Ali said the government's decision was based on findings from studies that indicate that the spread of Covid-19 would not only have a significant impact on health, but would also have detrimental effects on the economy and the well-being of the Malaysian people.

This, the International Trade and Industry Minister said includes Small and Medium Enterprises (SME) which comprise the largest contributor to the nation’s workforce.

This step, he said, was also necessary to ensure the sustainability of the country’s economy post Covid-19, to prevent the loss of jobs among Malaysians and to ensure that the rakyat continues to have access to basic needs and critical products throughout the MCO period.

“Pursuant to the government's decision to allow several critical manufacturing and services sectors to operate during the first phase of the MCO, the level of compliance by the approved companies has been satisfactory and encouraging.

“Nevertheless, the government continues to monitor the compliance of the conditions as stipulated by the Health Ministry and also to ensure that health screening and preventive measures are implemented for the safety of employees and customers.

“MITI has engaged with various stakeholders including business and industry associations, SMEs, and other relevant Ministries and agencies, including MoH and the National Security Council (NSC), to identify and review additional economic sectors that can be allowed to operate.

“This measure is in line with the Cabinet’s decision to establish a Special Cabinet Committee to Mitigate the Impact of Covid-19 on the Economy and Labour Market. The Special Cabinet Committee tabled several proposals to the Cabinet on April 6 and 8,” he said in a statement today.

Following the presentations by MITI, Finance Ministry, Khazanah Nasional Berhad and Bank Negara Malaysia, the Cabinet, he said, had decided to allow several additional economic sectors to operate in phases on condition of strict adherence to health and safety guidelines.

He said MITI has also reviewed the additional sectors that are allowed to operate based on its importance in the global value chain or GVC and the country's exports (this step is to ensure the stability of export activities; activity of economic sectors with high value-added multiplier; impact on the sustainability of SMEs in the economic sector, particularly in manufacturing and services; and size of workforce involved).

Companies in the additional sectors listed may submit their application to MITI beginning Monday, April 13, from 9 am.

All applications must be made online via MITI's website at www.miti.gov.my. Only applications that are complete and fulfil the set conditions will be processed.

“Companies in the sectors that are allowed to operate must comply with the requirements of the Standard Operating Procedure (SOP).

“In addition to adhering to these enhanced terms and guidelines, operating permits are also subject to compliance with the requirements set by the Health Ministry and guidelines by other relevant enforcement agencies from time to time. Failure to comply will result in the immediate revocation of the operating permit and legal action,” Azmin said.

Other services allowed to operate are social health services including registered traditional medicine practitioners, science, professional and technical services including research and development (R&D) (limited to: legal services; oil and gas; Covid-19 related, and testing laboratories).

Others allowed to operate include those in the automotive Industry (limited to export of fully pre-installed units - CBUs, equipment and components, as well as after-sales services for example maintenance), machinery and equipment industry, aerospace Industry, and construction projects and construction related services.

Some are however subject to limitations.

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