Latest news with #LimHuiYing
The Star
3 days ago
- Business
- The Star
EPF pension for new ones
Interested existing contributors may opt in voluntarily A NEW pension-style withdrawal structure under the Employees Provident Fund (EPF) will apply only to new members who register after the mechanism is implemented, says Deputy Finance Minister Lim Hui Ying. She said the monthly pension payout scheme will not affect the withdrawal rights of existing contributors, and current members will not be automatically placed under the new system but may opt in voluntarily. 'The proposed restructuring of EPF accounts will introduce a new mechanism that allows part of a member's savings to be allocated specifically to provide a regular income stream throughout their retirement years,' she said during Question Time. Lim was responding to Mordi Bimol (PH–Mas Gading), who had asked about the rationale for introducing monthly pension payments as outlined in the 13th Malaysia Plan (13MP) by Prime Minister Datuk Seri Anwar Ibrahim. She said the new structure is aimed at ensuring retirement savings last longer, in line with longer life expectancy. Under the proposed system, EPF savings will be split into two components upon reaching the minimum retirement age: a flexible savings portion, which can be withdrawn at any time, and a retirement income portion, which will be disbursed on a monthly or periodic basis until depleted. 'This structure is designed to strengthen income security in old age and support more sustainable financial planning,' she said. Meanwhile, Lim also addressed concerns raised by Tan Sri Muhyiddin Yassin (PN–Pagoh) over EPF's investment performance, noting that the fund recorded a 13% decline in returns for the first quarter ending March 31, 2025, compared to the same period in 2024. She said the drop was due to multiple factors, but added that a recovery is anticipated in the second quarter. 'We expect a positive response and rebound in the second quarter of 2025 compared to the same period last year,' she said, without elaborating on the exact causes behind the decline. According to EPF, during 1Q 2025, equities contributed RM10.81bil, a 23% decline from RM14.02bil recorded in 1Q 2024, mainly due to weaker performance across global equity markets and a challenging investment climate. EPF said equities continued to be the highest contributor, accounting for 59% of total investment income while fixed income continued to anchor capital preservation, contributing RM5.99bil or 33% of total investment income.
New Straits Times
3 days ago
- Business
- New Straits Times
Over 160,000 BNPL users have RM121.8mil in outstanding debt
KUALA LUMPUR: A total of 168,967 'Buy Now Pay Later' (BNPL) account holders, or 2.6 per cent of the total 6.5 million users, had outstanding balances as at June 30, 2025, said Deputy Finance Minister Lim Hui Ying. She said the outstanding BNPL loan balance for the same period stood at RM3.8 billion, representing 0.2 per cent of Malaysia's total household debt. However, the amount of BNPL debt that was unpaid or overdue remained manageable, amounting to RM121.8 million or 3.2 per cent of the total BNPL loan balance, she said during a question and answer session in the Dewan Rakyat today. She was responding to a question from Mohd Syahir Che Sulaiman (PN-Bachok) regarding the current status of BNPL debt in the country and the government's efforts to mitigate the risk of excessive indebtedness. Citing a 2024 study by the Consumer Credit Oversight Board Task Force involving 21,000 active BNPL account holders, Lim said BNPL users generally exhibited good financial discipline. "They also repaid BNPL loans with a low default rate. According to the study, approximately 88 per cent made all payments on time, 12 per cent made late but full payments, and fewer than 0.5 per cent were unable to repay in full," she said. In response to a supplementary question from Khoo Poay Tiong (PH-Kota Melaka), Lim said the Consumer Credit Commission (CCC), which will be established under the Consumer Credit Act 2025, will adopt a risk-based and proportionate supervisory approach for credit consumers. She said supervision would be carried out through periodic inspections and ongoing monitoring, the same methods used by Bank Negara Malaysia and the Securities Commission Malaysia. "The CCC's supervisory approach will prioritise the protection of credit consumers, focusing on fair treatment, transparency, and the development of a responsible credit market. "This will be supported by a regulatory framework that includes licensing and conduct standards under the Consumer Credit Act, empowering the CCC to supervise credit providers and credit service providers, and to take appropriate enforcement action," she added.
Malaysiakini
3 days ago
- Business
- Malaysiakini
Buy now pay later: Over 160k have RM121.8b in overdue debt
PARLIAMENT | A total of 168,967 'Buy Now Pay Later' (BNPL) account holders, or 2.6 percent of the total 6.5 million users, had overdue balances as at June 30, 2025, said Deputy Finance Minister Lim Hui Ying. She said the outstanding BNPL loan balance for the same period stood at RM3.8 billion, representing 0.2 percent of Malaysia's total household debt.
Malay Mail
4 days ago
- Business
- Malay Mail
Finance Ministry: 168,000 BNPL users owe RM3.8b, but only RM121m is overdue
KUALA LUMPUR, Aug 7 — A total of 168,967 'Buy Now Pay Later' (BNPL) account holders, or 2.6 per cent of the total 6.5 million users, had overdue balances as at June 30, 2025, said Deputy Finance Minister Lim Hui Ying. She said the outstanding BNPL loan balance for the same period stood at RM3.8 billion, representing 0.2 per cent of Malaysia's total household debt. However, the amount of BNPL debt that was unpaid or overdue remained manageable, amounting to RM121.8 million or 3.2 per cent of the total BNPL loan balance, she said during a question and answer session in the Dewan Rakyat today. She was responding to a question from Mohd Syahir Che Sulaiman (PN-Bachok) regarding the current status of BNPL debt in the country and the government's efforts to mitigate the risk of excessive indebtedness. Citing a 2024 study by the Consumer Credit Oversight Board Task Force involving 21,000 active BNPL account holders, Lim said BNPL users generally exhibited good financial discipline. 'They also repaid BNPL loans with a low default rate. According to the study, approximately 88 per cent made all payments on time, 12 per cent made late but full payments, and fewer than 0.5 per cent were unable to repay in full,' she explained. In response to a supplementary question from Khoo Poay Tiong (PH-Kota Melaka) on measures to safeguard consumer interests, Lim said the Consumer Credit Commission (CCC), which will be established under the Consumer Credit Act 2025, will adopt a risk-based and proportionate supervisory approach for credit consumers. She said supervision would be carried out through periodic inspections and ongoing monitoring, the same methods used by Bank Negara Malaysia and the Securities Commission Malaysia. 'The CCC's supervisory approach will prioritise the protection of credit consumers, focusing on fair treatment, transparency, and the development of a responsible credit market. 'This will be supported by a regulatory framework that includes licensing and conduct standards under the Consumer Credit Act, empowering the CCC to supervise credit providers and credit service providers, and to take appropriate enforcement action,' she added. — Bernama
BusinessToday
4 days ago
- Business
- BusinessToday
Plans To Restructure EPF Pension Payout Plan Won't Affect Current Withdrawals
A proposed restructuring of Employees Provident Fund (EPF) accounts will introduce a monthly pension-style payout mechanism, but it will not affect the withdrawal rights of existing members, said Deputy Finance Minister Lim Hui Ying. She said the initiative, announced by Prime Minister Datuk Seri Anwar Ibrahim during the 13th Malaysia Plan (13MP), is intended to ensure that members' savings last longer throughout retirement, in line with increasing life expectancy. 'The new structure will take effect once members reach the minimum retirement age. Their savings will be split into two main components: flexible savings, which can be withdrawn at any time based on members' needs and income savings, which will be disbursed regularly or monthly until fully utilised. 'This proposal aims to strengthen retirement income security and support more sustainable financial management,' she added. Lim clarified that the monthly payout mechanism will apply only to new EPF members registering after the new mechanism comes into effect. However, she noted that existing contributors may voluntarily opt in to the new structure if they choose. 'The proposed restructuring of EPF accounts will introduce a new mechanism allowing part of members' savings to be allocated specifically for regular income during retirement,' she said during a Dewan Rakyat question-and-answer session on Thursday. She was responding to a supplementary question from Mordi Bimol (PH-Mas Gading), who had asked about the rationale behind introducing monthly pension-style payouts as part of the 13MP.
