Bank Negara Malaysia’s new guideline on responsible financing, which tightened the criteria for auto financing, has impacted the automotive industry, especially budget car players. Proton Edar Dealers Association Malaysia (PEDA) has been among the most vocal opponents, claiming that only 30% of loan applications were approved in January.
Industry players met BNM last week and Perodua MD Datuk Aminar Rashid Salleh said the meeting was beneficial as it addressed serious issues.
“We are committed to support the government’s initiatives, in particular to address the rising household debt, but we would also appreciate it if the government and its regulatory bodies would consult the players to better understand the impact to the industry prior to the implementation of any new initiatives or measures,” he said.
Aminar added that partly due to the implementation of BNM’s financing guideline, the inventory of vehicles has risen and if left unchecked may need a downward revision to production planning. He added that the automotive ecosystem has also been hit as approval time for loans has lengthened, affecting sales of dealers.
He urged that the new guidelines be implemented in stages to allow a soft landing for both the players and consumers. Aminar said financing institutions should also take into consideration of the government’s desire to see growth in the industry by increasing competitiveness as well as a better business environment for all, in line with its comments on the soon-to-be announced revised National Automotive Policy.
Click here and here for PEDA’s views on the matter. To air your views, hit the comments section.
Looking to sell your car? Sell it with Carro.
donadoni
on 
driver
on 
asde
on 
pathfinder
on 
Chris
on 
Name
on 
jojo
on 
VoidDance
on 
encik boss
on 
Kelvin
on 
rear light
on 
zoom zoom zooeeii
on 
1010
on 
auto-guy-but-not-quite
on 
nighttrain
on 
hoho
on 
Justice
on 
sas
on 
Cheah Tat Cheong
on 
RejimKejamGanas
on 
Polo
on 
P2
on 
MengadaLaKauNi
on 
MoFaz
on 
Aruk
on 
MCdog
on 
4G63T DSM
on 
Arwan
on 
CarLover
on 
alldisc
on 
2012
on 
krs189
on 
k5
on 
autojohndoe
on 
MsiaBoleh
on 
Carlover
on 
kanne
on 
palehotak
on 
Lim Goh Tong
on 
fazron80
on 
PKR Cyber trooper
on 
LOL
on 
Abuya
on 
Merc=Real Euro
on 
omanjedi
on 
ipohMali
on 
TianCi
on 
car.driver
on 
i luv SG gerl!!
on 
gigganet
on 
AlfaRomeo=Ferrari'sCousin
on 
leekowchai
on 
stuck with local car
on 
Carl Wong
on 
Ajaw
on 
Puky
on 
BN=barang naik
on 
bobdbilder
on 
tuna
on 
tokey insuran
on 
cronos
on 
kamaji
on 
MAX
on 
jim
on 
izhar
on 
taxes
on 
AutoMan
on 
no one
on 
AI-generated Summary ✨
Comments express frustrations over high car prices due to government taxes and protectionism, especially affecting low-income buyers and fresh grads. Many advocate for reduced excise duties, lower interest rates, and more affordable options like second-hand cars. There’s concern that local industry profits and political motives influence pricing and policies, leading to widespread debt and economic strain. Supporters applaud BNM's regulations, emphasizing responsible lending to curb over-indebtedness and saturated local markets. Overall, sentiments highlight the need for policy reform and more affordable car ownership.