SARA Initiative Spurs MSME Growth, Strengthens Local Economy

By Frank Julian Martin

SIBU, Oct 5 (Bernama) -- The Sumbangan Asas Rahmah (SARA) appreciation aid programme not only holds great meaning for its recipients but also delivers a positive impact to retailers and micro, small and medium-sized enterprises (MSMEs), helping to stimulate local economic growth.

Jumbo Grocer (Apollo) supervisor Peter Baran said the programme’s implementation has transformed the landscape for small businesses.

He said assistance channelled through SARA not only helps recipients purchase daily necessities but also benefits local industry players by increasing sales among MyKasih-registered grocery outlets, while promoting greater visibility of homegrown products.

“If the programme continues, more MSME products can be listed. This will not only allow small entrepreneurs to market their goods but also allow retailers to offer consumers a wider range of choices,” he told Bernama.

Peter said Jumbo Grocer currently sells around 20 local PMKS-made items, including ‘Sarawak Kopi O’, which has received strong demand from customers.

He said the encouraging customer response demonstrates that local products have immense potential and only need space and opportunity to expand further.

According to him, most recipients redeem essential goods such as rice, sugar, cooking oil and canned food, as these are household necessities, while a smaller number use the aid to buy personal care items, medicine, school supplies or household cleaning products.

Meanwhile, Easy Shop chief cashier at Lorong Ulu Oya 11, Floren Agan, said many recipients are still unaware that they can redeem a variety of other products beyond staple food items.

“Most focus on rice, cooking oil, coffee, tea and sugar. But they can also purchase items such as ‘bihun’, instant noodles and canned food. Only a small number choose household cleaning products,” she said.

Floren described SARA as a holistic initiative that not only supports the people but also empowers small traders while creating new opportunities for local products to grow to the next level.

“Easy Shop already offers a wide range of local products. If more MSME entrepreneurs participate, consumers will enjoy more choices. This not only assists the public but also helps local products grow and potentially penetrate international markets,” she said.

Bernama checks at several supermarkets around Sibu found an increasing number of Sarawak-made MSME food products on store shelves, including ‘mi kolok’, ‘mi kering’ and various types of ‘bihun’.

Although goods from Peninsular Malaysia still dominate, the growing presence of products from Sabah and Sarawak reflects the rising quality and determination of local entrepreneurs, a development that deserves greater recognition.

SARA is a targeted cash assistance programme aimed at helping those in genuine need. It has now been expanded to benefit 5.4 million recipients nationwide, including 700,000 under eKasih and 4.7 million under the Sumbangan Tunai Rahmah (STR) cash aid scheme.

Under Budget 2025, allocations for STR and SARA have been increased to RM13 billion from RM10 billion previously, while annual SARA assistance has been raised to RM2,100 from RM1,200 last year.

In line with the MADANI Economic Framework, the initiative emphasises the empowerment of low-income households through fair opportunities, improved living standards and comprehensive social protection.

Recently, in conjunction with National Day, Prime Minister Datuk Seri Anwar Ibrahim announced a one-off RM100 payment to all Malaysian citizens aged 18 and above, credited directly to their MyKad under SARA, benefitting 22 million people.

The disbursement involves an additional RM2 billion, bringing the total allocation for STR and SARA to RM15 billion this year — the highest in Malaysia’s history of cash assistance — which can be spent from Aug 31 to Dec 31 at more than 8,100 shops and supermarkets nationwide.

-- BERNAMA