ALOR SETAR (March 19): The Government will study the Felda Settlers Consultation Committee’s proposal for compassionate money of RM500 be given to each of the 30,000 Felda settlers despite the fact that the Federal Government is facing financial constraints.

Economic Affairs Minister Datuk Seri Mohamed Azmin Ali said the study would also take into consideration the wellbeing of the settlers as the Government would not want them to be heavily burdened if their living allowance was reduced to RM1,000 from the current RM1,500.

“As we all know, the Government is facing financial constraints right now, but we don’t want to jeopardise the settlers’ income...we will look into the proposal for the sake of Felda settlers and also the impact on the Government.”

He said this to reporters after attending a special meeting with the Federal and State Government officers and staff here today. Also present was Kedah Menteri Besar Datuk Seri Mukhriz Tun Dr Mahathir.

Mohamed Azmin was commenting on an online news report stating that the Felda settlers had agreed for their living allowance to be reduced to RM1,000, but demanded the Government to give each of them another RM500 as compassionate money to reduce their financial burden.

Head of National Felda Settlers Sulong Jamil Mohd Shariff was quoted in the report as saying that the matter was agreed to at the committee’s meeting with the Felda management in Kuala Lumpur yesterday.

For the record, Felda settlers currently receive living allowance (in the form of a loan) of RM1,500 for their four hectares of land involved in Felda replanting programme and Felda is spending RM500 million a year for that purpose.