The government’s assurance to restructure Felda's loans is a good initial step to reset and restart the agency and restore its former glory.
Rauzan Esa, 38, who comes from a Felda settler family in Sungai Sibol, Johor, said that with this government guarantee, the cash flow of Felda can be restored, and all deferred activities due to financial constraints can be reorganised.
“We want Felda to restore its former glory as an exemplary model to the world in terms of socio-economic development which had successfully eradicated poverty (among Felda settlers) and built a complete value chain in the commodity industry,” he told Bernama.
The Ministry of Finance in a statement dated June 28 said that Prime Minister cum Finance Minister Datuk Seri Anwar Ibrahim had signed a Government Guarantee Agreement for Felda to restructure its loans and a large part of the restructuring plan will involve reducing Felda’s debt principal of RM7.9 billion with financial institutions.
It will also reduce Felda's financial cost in terms of interest rates and enable Felda to cancel 80 per cent of the RM8.3 billion settlers' debt implemented in 2021.
Rauzan also hoped that with this initiative, the new generation of Felda settlers can enjoy additional income as their monthly repayments will be reduced, thereby helping them improve the quality of their lives and their families.
Another member of a Felda settler family, Raja Hurairah Emirruddine Raja Ahmad from Felda Tunggal, Gugusan Adela in Kota Tinggi, Johor, expressed relief for the loan restructuring plan.
The 32-year-old private sector worker said that the move would definitely bring about a great impact on the 112,638 Felda settlers and their generations, in general.
“Undoubtedly, this loan restructuring plan will greatly benefit Felda settlers as it will optimise their income so that they can fully enjoy it while they are still alive because it is a well-known fact that most pioneer settlers are old,” he said.
In view of the 2023 National Felda Settlers Day celebration tomorrow, Raja Hurairah Emirruddine also hoped that Felda land schemes across the country will continue to forge success with commodity yields that contribute to the settlers and the country's income.
He said it is also hoped that Felda settlers will always seize the opportunities given and work together as one big family.
Source: BERNAMA News Agency