Arau MP Shahidan Kassim has once again urged Prime Minister Anwar Ibrahim to consider allowing Employees Provident Fund (EPF) dividend withdrawals ahead of the upcoming Hari Raya celebrations.
In his latest statement, Shahidan stressed that many Malaysians, especially lower‑ and middle‑income households, rely heavily on these dividend payments to manage increased festive expenses. He said permitting such withdrawals would provide crucial financial relief, enabling families to purchase essentials, gifts, and other preparations without added stress.
May contribute to local spending and support small businesses
The MP reminded the government of previous occasions when limited withdrawals were allowed to ease financial pressure on citizens during major events and called for a similar approach this year. He added that the move would help stimulate local spending and support small businesses and vendors still recovering from post‑pandemic economic challenges.
While acknowledging the importance of safeguarding long‑term retirement savings, Shahidan argued that a limited, controlled withdrawal option could strike a balance between immediate needs and future financial security.
Shahidan’s appeal comes amid rising living costs and inflation concerns in Malaysia, which have made festive preparations increasingly difficult for many households.
In a Facebook post yesterday (28 February 28), he urged Prime Minister Anwar and the Finance Ministry to seriously consider the proposal as a timely means of supporting Malaysians and upholding the spirit of generosity during Hari Raya. He added that he will raise the matter in Parliament for immediate discussion on Monday (2 March).
Shahidan also proposed that the government introduce a targeted and conditional “Special Aidilfitri Withdrawal” for contributors genuinely affected by cost‑of‑living pressures.
EPF recently announced a 6.15% dividend for the 2025 financial year for both conventional and Shariah accounts, slightly lower than the 6.3% declared for 2024. The dividend will be distributed proportionally across Account 1 (Retirement), Account 2 (Sejahtera), and Account 3 (Flexible), based on contributors’ savings composition.
Do you think another round of EPF withdrawals should be approved?
Also read: M’sian Woman Shares How She Managed to Have RM1.9 MILLION in EPF Savings at The Age of Only 35
