Two in three SMEs in Malaysia pessimistic on recovery for 2021
Two out of three SMEs in Malaysia have expressed zero hope for any recovery in 2021, revealed a survey conducted by the Small & Medium Enterprises Association Malaysia (Samenta) on its members from June 19 to 23.
Meanwhile, 16% of members surveyed expected their businesses to recover only in 2023, citing movement restrictions as dampening business demand.
“The government needs to be leading at this crucial period by providing a clear, realistic roadmap for our economy and by extension, our SMEs to recover from the pandemic and tap into opportunities in the new normal,” said Samenta Chairman William Ng.
“Our focus should go beyond re-opening of the economy to helping our SMEs gain lost ground and sprint ahead of our regional peers,” he noted in a statement.
“During MCO 1.0, many SMEs still have cash buffers to keep their businesses afloat. However, after over a year of disrupted business, SMEs are no longer in a position to survive on their own,” he added.
“Moving forward, it is important that we allocate the right resources to push our SMEs to adopt technology through more accessible matching grants that cover businesses of all sizes and sectors; and across all stages of digitalisation,” said Ng.
He added that it is important to “wane Malaysian SMEs off relatively ‘cheap’ labour, speed up automation and reliance on manpower, and improve the educational level of our next generation of entrepreneurs”.