Malay Chamber of Commerce Malaysia estimates one million affordable homes needed

Malay Chamber of Commerce Malaysia estimates one million affordable homes needed

KUALA LUMPUR, Oct 30 — The Malay Chamber of Commerce Malaysia (DPMM) estimates that one million houses are needed throughout Malaysia to meet the needs of the middle income group.

Of this number, 300,000 such houses are needed in the Klang Valley alone, said its president, Datuk Syed Ali Alattas.

He told reporters this after a Post-Budget 2016 Forum here today, while expressing the hope that the government can create a housing bank to assist developers and house purchasers.

“This institution is important as the cost of building 300,000 units of homes costing RM200,000 needs financing of about RM60 billion,” he added.

According to Syed Ali, the developers association in Melaka reportedly failed to sell 50,000 low cost houses as banks refused to provide loans to buyers.

Commenting on the Budget 2016, Syed Ali said there were still issues that had not been overcome, namely the financial allocation for ensuring the success of the Bumiputera agenda in the microfinancing business which was increasing.

“Only 3.5% of the budget allocation of RM260 billion was for this sector. In the current uncertain economic situation, the microfinancing business sector has been somewhat affected.”

He said during the 1997-1998 economic crisis, DPMM had received more than RM500 million to assist half its members who were affected by it.

“At that time, DPMM had less than 10,000 members. At present, we have more than 500,000 Bumiputera entrepreneurs registered with us, and who need assistance towards continuing their businesses,” Syed Ali added.

— BERNAMA

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