KUCHING: The Associated Chinese Chambers of Commerce and Industry of Sarawak (ACCCIS) has welcomed the Employees Provident Fund’s (EPF) announcement of a 6.30 per cent dividend rate, describing it as a strong and encouraging development for EPF members and businesses alike.
Its secretary-general, Datuk Jonathan Chai, noted that this is the first time in years that EPF has exceeded a 6 per cent payout.
“The 6.30 per cent dividend rate is a strong performance, especially given the economic challenges of recent years.
“It is significantly higher than fixed deposit returns and even some investment funds, reinforcing EPF’s reliability as a long-term retirement savings vehicle,” he told the Sarawak Tribune.
He added that the total payout of RM73.24 billion reflects the fund’s prudent investment strategy and resilience in navigating global economic uncertainties.
“This should boost confidence among EPF members and the broader public, as it demonstrates that the fund remains robust despite market fluctuations and economic uncertainty,” he said.
On its impact, Chai said the dividend rate would positively affect businesses, as employees gain greater financial security, potentially leading to higher job satisfaction and productivity.
Moreover, he noted that the large payout injects liquidity into the economy, which could boost consumer spending in key sectors such as retail, property, and lifestyle industries.
“Many EPF members who are eligible may choose to withdraw a portion of their earnings for immediate use, benefiting businesses, especially in discretionary spending sectors like automotive, travel, and lifestyle products,” he said.
He added that this improved financial stability may also encourage business expansion and investment, benefiting small and medium enterprises (SMEs) and stimulating domestic economic growth.
“Overall, the EPF dividend announcement is a positive signal for both employees and businesses, reinforcing financial stability and economic momentum in our country,” he said.
