KUALA LUMPUR, Oct 25 — The Human Resources Ministry, via the Peninsular Malaysia Labour Department, is reviewing the Special Estate Workers Home Financing Scheme’s (SKRE) conditions for more estate workers to qualify for the facility.
Its deputy minister Datuk Mustapha Sakmud said the financing scheme, with RM50 million in revolving funds, was first introduced under the 10th Malaysia Plan, but only 319 workers have taken up loans with a total funding of RM26.4 million as of August 31 this year.
“Several constraints have been identified which prevented workers from participating in the scheme, such as the lack of low-cost housing and housing projects’ locations being far from their workplace.
“In addition, their lack of financial capacity also results in their applications being rejected,” he said.
Mustapha was replying to Ampang MP Rodizah Ismail’s supplementary query over the response by the target group on the scheme, during the question-and-answer session in Parliament today.
The scheme offers a very low fixed interest rate of two per cent with a maximum loan tenure of 35 years, compared to commercial banks.
He added the scheme also allows financing for the second generation, buying new and sub-sale houses and building their own houses.
— Bernama
