PETALING JAYA: The SME Association of Malaysia has urged Putrajaya to strengthen coordination with industry players and prioritise more pressing economic challenges facing small and medium enterprises (SMEs), even as it backs the government’s decision to introduce an additional Aidilfitri public holiday.
Its national president Dr Chin Chee Seong said greater collaboration between ministries, agencies and the business community is needed to better address ongoing cost pressures, supply chain disruptions and market uncertainties affecting SMEs.
He said while the last-minute announcement of an extra public holiday may affect manpower planning, production schedules and deliveries, the issue should be viewed in a “practical, mature and constructive manner”.
“More importantly, the country and the SME community are facing challenges that go far beyond a single additional public holiday,” he said in a statement.
Among the more urgent concerns, he highlighted rising logistics costs, volatile raw material prices, supply chain instability, transportation delays, cash flow pressures and uncertainties linked to geopolitical tensions in West Asia.
The association said these issues have a more direct impact on the survival and growth of SMEs, and should take precedence over debate surrounding the festive holiday arrangement.
Prime Minister Anwar Ibrahim had said the additional holiday was introduced to ease travel during the festive season, reduce congestion and ensure smoother Aidilfitri arrangements, with the exact date subject to the declaration of the first day of Syawal.
Dr Chin noted that while some businesses may not fully welcome the move, many had already anticipated disruptions during the festive period, as employees typically take leave to return to their hometowns.
“In that sense, the announcement also provides clearer arrangements for both employers and employees, while reducing unnecessary uncertainty,” he said.
At the same time, he stressed that the complexity of current economic challenges requires a whole-of-government approach, rather than isolated efforts by individual ministries or agencies.
He called for closer engagement between government bodies and industry groups to improve policy coordination, financing support, export facilitation, logistics management and market access.
“What we hope to see is not merely policy announcements, but more practical, timely and better-coordinated implementation,” he said.
The association reiterated its support for the government’s decision, but urged greater attention to the broader economic pressures facing SMEs and micro enterprises, adding that stronger public-private collaboration is key to helping businesses sustain operations, preserve jobs and maintain market confidence.
