Budget 2024: Second chance policy on bankruptcy expanded, says PM

KUALA LUMPUR: In line with its approach to protecting the people’s welfare, the Madani government will next year expand the Second Chance Policy on bankruptcy to those aged 40 and below who have debts not exceeding RM200,000.

Prime Minister Datuk Seri Anwar Ibrahim said as of July this year, almost 14,000 cases with small debts of below RM50,000 had been discharged from bankruptcy.

"The implementation of the Second Chance Policy, the Insolvency (Amendment) Act 2023 has automatically exempted current and past cases that meet requirements from being declared bankrupt," he said when presenting Budget 2024 in the Dewan Rakyat on Friday (Oct 13).

Meanwhile, to ensure the underprivileged were given justice, Anwar, who is Finance Minister, said the government will empower the Legal Aid Department’s functions, besides providing an additional RM10mil in allocation under the National Trust Find for Malaysians abroad.

"This is to protect Malaysians who are victims of job scams and other welfare-related cases abroad," he said. - Bernama