Malaysia plans sales, service tax hikes
The tax adjustment supports the Malaysian Government’s strategy to reduce reliance on foreign food supply chains and to assist domestic farmers, a finance official has said.
The Bank for Agriculture and Agricultural Cooperatives (BAAC) hasprepared 60 billion BTH (1.76 billion USD) to give out as loans tofarmers to boost farm productivity.
According to FinanceMinister Sommai Phasi, the 60 billion baht loan program is meant to helpfarmers affected by water shortages. The first 30 billion baht will begiven to the farmers as a one-year loan.
The interest rate of 4percent will be applied for the first nine months. However, no interestwill be incurred on for the remaining three months.
The FinanceMinister added later that the second portion would be given out on athree-year basis with an interest rate of 7 percent. The BAAC isexpected to seek approval for the programme from its board of executiveson July 13.-VNA
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