PETALING JAYA: The government’s pledge to expedite major infrastructure projects, including the East Coast Railway Link Project (ECRL) and the Mass Rapid Transit Line 2 (MRT2), has provided a much-needed certainty on project continuity following a power transition in early March.
But while this is reassuring, some feel that there were no added catalysts for listed construction players under the RM250bil economic stimulus package to soften the impact of Covid-19, which was announced on Friday.
According to TA Research, listed (construction) players can benefit from corporate loan restructuring arrangements with banks and the RM50bil guarantee scheme with a guarantee of up to 80% of the loan amount for the purpose of financing working capital requirements. They can also benefit from the RM600 per month wage subsidy assistance for 3 months for employees earning below RM4,000 per month.
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