However, Prime Minister Anwar Ibrahim said EPF would not be excessive in its leniency, as its core purpose is to serve as retirement savings for contributors.

Speaking in the Dewan Rakyat today, he said broad access to EPF withdrawals would harm contributors when they retire.

“Exceptions and flexibility have been granted before, especially for illnesses and other urgent circumstances.

“If there is a specific case, I believe EPF can consider it, just as it has done before.

“If the situation is urgent, and does not align with current withdrawal guidelines, EPF may still review it,” he said in response to a supplementary question by Nurul Amin Hamid (PN-Padang Terap).

Anwar said the government must strike a balance between addressing immediate financial struggles and ensuring that retirement savings remain secure.

He said the recently announced 6.3% dividend rate would help contributors better understand EPF’s long-term benefits.

However, he pointed out that many contributors, particularly among the Malay community, have very low savings.