Finance Minister Lim Guan Eng said that the government is currently testing a new e-wallet system and software for citizens
Called e-Tunai Rakyat, Lim explained that the system is in line with the government's plan to give out a one-off RM30 credit to eligible Malaysian e-wallet users in order to encourage citizens to go cashless.
The RM30 credit will be distributed to Malaysians aged 18 years and above who have an annual income of less than RM100,000 and it can be redeemed and used for a two-month period, beginning 1 January 2020 and expiring on 29 February 2020.
According to a report by Malay Mail, the government is collaborating with e-wallet providers and government agencies to carry out this scheme which is expected to benefit 15 million Malaysians.
Lim added that the Ministry will consider repeating the initiative and increasing the credit amount if it has been fully claimed
“Khazanah Nasional Bhd will be making an announcement on the participating e-wallet providers, and if the allocation is fully claimed for and has successfully boosted spending, the ministry will consider increasing the amount.
"If it is well received, the initiative can be repeated to involve more users, merchants, and e-wallet providers," the Finance Minister told the Dewan Rakyat yesterday, 5 December.
With the introduction of e-Tunai Rakyat, the government hopes that the public, small businesses, and retail stores will feel encouraged to accept and use digital payments
"The only thing that is required is an e-wallet account with verified identification by selected service providers," Lim said, as quoted by Malay Mail.
The government has also allocated RM450 million for this initiative, which will be facilitated by Khazanah Nasional.
As reported by Malay Mail, this scheme was part of a RM50.3 billion allocation to drive Malaysia towards an entrepreneurial nation, which includes the transition to a digital economy.
Lim added that RM28.7 billion has been assigned to multiple digitalisation incentives, which includes the e-Tunai Rakyat as well as guarantees and financial aid for entrepreneurs, small and medium businesses, and Malaysian companies.