KUCHING: The RM100 one-off Sumbangan Asas Rahmah (SARA) assistance has, to some extent, helped Sarawakians cope with the rising cost of living, particularly in purchasing basic necessities such as rice, eggs and cooking oil, said Universiti Malaysia Sarawak (UNIMAS) Faculty of Economics and Business senior lecturer Dr Farhana Ismail.
She said the assistance eases the financial burden of households, especially during festive seasons, and some recipients have even used it productively for small businesses.
Although it is a one-off payment, she noted that the assistance has a clear positive impact in the short term as it boosts consumer spending, particularly on essential goods. The resulting increase in domestic demand subsequently supports production activities and the overall economy.
“Consumer spending is expected to rise shortly after the SARA credit is disbursed, and it helps low- and middle-income groups manage their daily expenses in a more orderly manner,” she said.
Farhana also emphasised that the cashless credit method used in the SARA programme is more effective than conventional cash assistance because it ensures the aid is channelled in line with its original objective namely, the purchase of basic necessities. In addition, transaction records enable stakeholders to understand consumer spending patterns and continuously evaluate policy effectiveness.
She added that while a multi-pronged assistance approach should be continued to meet the needs of different recipient groups, the RM100 SARA remains an important measure in easing cost-of-living pressures among the low income group.
Prime Minister Datuk Seri Anwar Ibrahim, in delivering his New Year address Monday, said the SARA payment will be credited on 9 February to help with preparations for Chinese New Year and the month of Ramadan.
“This year’s SARA involves 22 million Malaysians aged 18 and above, who will receive the credit on 9 February,” she said.
The RM100 SARA assistance aims to provide immediate relief to households facing monthly and festive expenditures, while complementing the government’s broader efforts to enhance the economic well-being of the people.
