Malaysia’s SARA aid programme benefits retailers and suppliers, with sales rising up to 40% as recipients spend on daily essentials.
KUALA LUMPUR: The Sumbangan Asas Rahmah (SARA) initiative is providing a significant boost to Malaysia’s retail and supply sectors.
Beyond aiding recipients, the programme is stimulating cash flow for supermarkets, retail traders, and product suppliers.
A Bernama survey at BabaDona Supermarket in the capital observed increased buying activity as recipients began spending their credited assistance.
Supermarket manager Kamal Zahurin Khalid confirmed SARA has positively impacted sales, noting the practicality of using identity cards for payment.
“In terms of sales, there has indeed been an increase since SARA was introduced,” he said.
He added that the payment system is reliable, giving customers greater confidence to shop.
Kamal noted initial challenges with product registration have improved, with nearly 90% of items now registered under the SARA system.
Marketing manager Zaitun Shahril Reza said suppliers have seen sales jump 30% to 40% since the programme’s implementation.
“The SARA programme helps boost sales and smoothen our supply chain,” she stated.
She explained that many supermarkets are restocking more quickly due to heightened consumer demand.
Suppliers must apply to the Ministry of Domestic Trade and Cost of Living and meet criteria to have their products listed under SARA.
The programme’s reach has expanded significantly this year with an RM8 billion allocation for 8.1 million recipients.
This compares to RM5 billion for 5.4 million recipients in the previous year.
Distribution began today for household recipients and senior citizens without spouses, involving five million people.
A further 3.1 million single individuals will receive the aid on 16 January.
