Terengganu Launches Economic Support Initiative

The government of Terengganu has launched Phase 1 of its Economic Stimulus Action Plan, aimed at alleviating the repercussions of the global supply crisis impacting businesses, farmers, and local industries. This initiative seeks to bolster economic resilience and offer direct support to the most affected sectors within the region.

According to Terengganu Menteri Besar Ahmad Samsuri Mokhtar, the measures primarily target micro, small, and medium enterprises, as well as agricultural communities, ensuring stable production amid uncertain global economic dynamics. The government's commitments are centered on economic sustainability and securing food resources through targeted financial aid.

A vital component of the initiative is a seven-month moratorium designed for borrowers involved in the Terengganu Sejahtera Entrepreneur Fund Scheme. Scheduled from June to December 2026, this moratorium is expected to benefit around 783 borrowers, with a deferred repayment amount approximating RM2.1 million.

Additionally, the state government has allocated an extra RM2 million to the entrepreneur fund for 2026, facilitating accessible financial support for more small business owners to manage surging operational costs amid economic unpredictability.

Support is also extended to the agricultural sector, where approximately 400 borrowers under the Agricultural Capital Assistance Scheme will enjoy a repayment moratorium from May 2026 to April 2027. The programme includes deferred repayments totaling around RM2.9 million.

Furthermore, rice farmers in Terengganu will benefit from production incentives detailed in the new relief package. Farmers will receive RM100 for every metric tonne of rice produced, and those who exceed 10 metric tonnes may attain incentives of up to RM1,000. The state has earmarked RM3 million to assist over 4,500 rice farmers.

Beyond financial measures, the state government is set to reassess construction material pricing to aid contractors in managing fluctuating building expenses. Authorities are also focusing on implementing small-scale projects with a significant local impact, aimed at boosting economic activity and generating opportunities in the region.

Ahmad Samsuri highlighted that the Terengganu government will continuously evaluate the 2026 state budget to maintain alignment with economic recovery and the evolving needs of businesses and communities across the region.