KUALA LUMPUR, May 6 — An online survey by Cent GPS Research has found that 30 per cent of respondents are without income during the movement control order (MCO).
It said this indicates that while they can adapt during the first two phases of the MCO, their finances may be stretched and under strain as the MCO is extended.
The survey was done during Phases One and Phase Two of the MCO on the financial wellbeing of Malaysian households and their spending pattern.
About 733 respondents participated in the survey, comprised of 54.3 per cent females, 43.5 per cent males and the remaining 2.2 per cent preferred not to be identified.
According to a statement by Cent GPS Research, almost 30 per cent of the respondents stated their finances can only last for a month, with another 44 per cent only have savings that would last them between one to three months.
“Therefore, 74 per cent of the respondents cannot last more than four months. Here lies the challenge for both the government and the revitalisation of the economy, whether businesses and individuals would have the capacity to normalize their cash flow post-MCO and how long it would take to do that,” it said.
While many talked about the challenges companies and businesses will face in reviving their operations, Cent GPS said the problem may lie in the market itself as people may cut spending post-MCO to stabilise their savings.
“With the shrinking of household expendable income, from those who are without any income during the MCO and for those who would try to make up for their reduction of savings, the public is looking to the government to provide them with some form of stimulus.
“As per our survey, 86 per cent of the respondents strongly agreed that the MCO is necessary. Besides that, the expectation to the government is very high, although this survey was taken on the earlier phases of the MCO, a 70 per cent positive rating that the government can revitalize the economy is quite a significant expectation,” it added.
Thus, it said, a clear, concise and detailed plan needs to be panned out throughout the months post-MCO for the revival of the Malaysian economy to store confidence to industries, businesses and consumers.
“Another interesting note from our survey is that the findings on those that do online shopping, the findings are equally distributed between those residing within and outside of Klang Valley with quite a chuck coming from Sabah and Sarawak.
“Perhaps the good news in all of these is that the MCO catalyzes for Malaysian consumers to adopt online practices mainly in regards to the procurement of goods,” it said.