KUALA LUMPUR: The government is allocating an additional RM6 million to boost development of cooperatives in recognition of their contribution to the country's economy.
Prime Minister Datuk Seri Anwar Ibrahim said the funds would be channelled through National Cooperative Movement of Malaysia Bhd (Angkasa) for various initiatives.
Of the total, RM2 million would be allocated to Angkasa by the Domestic Trade and Cost of Living Ministry and another RM2 million from the Implementation Coordination Unit (ICU).
He also announced new allocations from the government for the cooperatives movement, namely RM1 million for Asean Cooperative programmes throughout Malaysia's chairmanship next year, as well as RM500,000 channelled to mosque cooperatives and the remaining RM500,000 to enhance competency of cooperatives in rural areas.
"I will talk to Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz to hold a special session with Angkasa in exploring potentials at the international level.
"As Malaysia prepares to assume the Asean Chair, I want cooperatives to be one of the agendas next year," he said this in his speech at the National Cooperative Congress 2024 here today.
He said the whole of government machinery should give attention to cooperative movement, which he described as the pillar of the people's economy.
The assistance included allocations from different agencies, as well as digital empowerment through the Digital Ministry, he said.
"History has proven that many cooperatives have 'lost' (and closed down); so, we will assist them in all aspects."
He said cooperatives should also seek new opportunities following the current demands, including energy transition, digital transformation, use of artificial intelligence as well as participation in strengthening the country's food security.
The Entrepreneur Development and Cooperatives Ministry had, in April, announced RM100 million allocation to finance cooperatives involved in the agro-food sector.
Anwar, who is also finance minister, said the government also agreed to review the relevant laws to enable the cooperatives to become business entities.
He said the legal framework is being prepared by the Attorney-General's Chambers, expected to be finalised in two months, before it could be presented to the cabinet for approval.
It was part of the resolution endorsed in the two-day congress held at the World Trade Centre.
Earlier, Angkasa president Datuk Seri Dr Abdul Fattah Abdullah in his speech said it has 7.2 million members, which is 20 per cent of Malaysia's population.
Cooperatives in the country recorded a total revenue of RM64.6 billion last year, he said.
There are currently 15,809 registered cooperatives nationwide.
Cooperatives in the country recorded a total revenue of RM64.6 billion last year, he said.
There are currently 15,809 registered cooperatives nationwide.
Also present were Chief Secretary to the Government Tan Sri Mohd Zuki Ali, as well as Entrepreneur Development and Cooperatives Minister Datuk Ewon Benedick and his deputy Datuk R. Ramanan.