The RM100 SARA aid for 22 million Malaysians is easing burdens while creating youth income opportunities and stimulating local economic activity.

KUALA LUMPUR: The one-off RM100 Sumbangan Asas Rahmah (SARA) payment is acting as a catalyst for youth entrepreneurship and local economic growth.

Community Communications Department (J-KOM) Strategic Advisor Datuk Dr Budiman Mohd Zohdi said the aid provides starting capital for proactive youths to launch small-scale businesses.

“The government assists as a catalyst. RM100 might be small, but if combined with siblings within a family, it can become a significant capital to start something,” he said on Bernama Radio’s Fokus 30 programme.

He noted that some youths have used the credit to buy raw materials and start ventures like selling food products online or locally.

This approach aligns with the need for youth to creatively seek income opportunities beyond relying on aid.

Budiman also highlighted the programme’s positive impact on the local economy as spending flows to supermarkets, grocery stores and MSMEs.

“When 22 million citizens spend that aid within the country, it certainly creates a multiplier effect for the local economy,” he explained.

The government remains open to public suggestions to improve SARA’s implementation and relevance.

Improvements already made include expanding the network of accepting premises to rural grocery stores and adding frozen food as a basic item category.

Commenting on the use of MyKad for cashless transactions, Budiman said it ensures aid is enjoyed only by citizens and reduces subsidy leakage.

“This is indeed a good step that makes us feel proud to be Malaysians,” he said.

 The Sun Malaysia