Bantuan Prihatin Nasional 2.0: Here’s What You Need To Know

Category: Money Tips

In an effort to boost economic recovery and help Malaysians cope with the economic fallout of the COVID-19 pandemic, Prime Minister Tan Sri Muhyiddin Yassin recently announced several initiatives and additional assistance under the RM10 billion Prihatin Supplementary Initiative Package (Kita Prihatin).

The additional package includes the RM7 billion Bantuan Prihatin Nasional 2.0 (dubbed BPN 2.0), the RM2.4 billion Wage Subsidy Programme 2.0 and the RM600 million Prihatin Special Grant (GKP) worth RM600 million.

The package targets four main groups: married and singles from the bottom 40% income group (B40); married and singles from the M40 group, local workers in various fields and micro-traders in various fields.

“Since the beginning, the government has been focused on being a caring administration – a government that not only understands the problems faced by the people but also acts quickly and effectively to overcome the challenges that threaten the prosperity of this nation,” he said while announcing the KITA PRIHATIN package today.

“The government needs to be caring during this time of need for Malaysians, especially given the current challenging period,” he added.

The package is the extension of the previous economic stimulus packages: PRIHATIN, PRIHATIN SME PLUS and PENJANA worth a total of RM295 billion, or about 20% of the nation’s gross domestic product (GDP), with an additional fiscal injection by the government totalling RM45 billion.

All in all, the package would greatly benefit those who are still finding it hard to cope with the negative effects of the pandemic. Here’s a breakdown of Bantuan Prihatin Nasional 2.0, and how you could benefit from it:

What is Bantuan Prihatin Nasional (BPN) 2.0?

BPN 2.0, an extension of previous economic stimulus packages, is a one-time off cash assistance for B40 and M40 households and individuals to cope with the economic effects of COVID-19. A total of RM7 billion has been allocated for BPN 2.0 which will benefit 10.6 million recipients.

So, how much can you get from BPN?

The distribution of BPN will be made in two stages: the first round of payment to be released at the end of October 2020, and another round will be made in January 2021.

Eligibility

CategoryIncomePayment phaseTotal
First phaseSecond phase
HouseholdsB40RM 4,000 and belowRM 700RM 300RM 1,000
M40RM 4,001 – RM 8,000RM 400RM 200RM 600
Individuals (singles)B40RM 2,000 and belowRM 350RM 150RM 500
M40RM 2001 – RM 4,000RN 200RM 150RM 300

Recipients of BPN 1.0 will automatically be eligible for BPN 2.0. They are also not required to apply for BPN 2.0. Those who were not eligible for the original BPN 1.0 may apply for BPN 2.0 if they are eligible; new applications can be made starting 15 October 2020.

How will BPN 2.0 be distributed?

BPN 2.0 will be distributed similar to how the original BPN was.

Payments for (Bantuan Sara Hidup) BSH recipients will be automatically made into accounts that are registered in the BSH database. Non-BSH recipients with successful credit will receive cash via their accounts registered in the BPN database.

Those with credit failure (aka blacklisted and bankrupt individuals) or without a bank account may redeem their cash via Bank Simpanan Nasional.

What else should you know?

Besides BPN, the government also introduced the Wage Subsidy Programme 2.0 (worth RM2.4 billion) to assist employers and employees in sectors that are still adversely affected as well as the Prihatin Special Grant (worth RM600 million) to aid more than 200,000 micro-businesses across Malaysia.

According to Muhyiddin, as of September 11, a total of 2.63 million workers and 321,000 employers had benefited from the initial Wage Subsidy Programme, involving an expenditure of RM10.4 billion.

Applications for the Prihatin Special Grant will open from October 1 to 31, 2020. Muhyiddin also said payments are targeted to be made from November 25.

We will be updating this page from time to time where relevant, so watch this space if you would like to stay updated on further information from the Ministry of Finance.