He added that the government could identify those who are eligible and ensure banks do the necessary.

“Big companies or millionaires can be excluded from the programme,” Puad said in a statement today.

Citing the recent announcement by Public Bank on its record profits in the first quarter of this year, he said the banks were still raking in large profits despite the movement control order (MCO).

Public Bank Bhd reported a net profit of RM1.53 billion for Q1 2021, up 15.11% from RM1.33 billion last year.

Puad also dismissed Bank Negara Malaysia (BNM) governor Nor Shamsiah Mohd Yunus’ assertion that an automatic bank loan moratorium was not needed because all economic sectors were in operation during the current MCO.

He said it was not a good enough reason to deny those in need the loan moratorium.

“The situation is dire for many who are still unemployed since losing their jobs as a result of multiple MCOs over the past year.

“Those who run businesses also cannot open fully. Some who just started to reopen (their businesses) face losses once again because of the last minute MCO 3.0,” he added.

Nor Shamsiah was also reported to have said that another automatic loan moratorium may not be the best solution for borrowers.

Instead, she suggested that borrowers approach banks to help them meet their debt obligations.

To this, Puad said without the loan moratorium, the people who have been most affected by the pandemic will only face bureaucratic obstacles when dealing with banks directly.