The government has approved Proton’s application for a RM1.5 billion soft loan. Proton has mentioned that the loan will be used to pay its vendors for parts already supplied.
While the government has approved the loan, International Trade and Industries Minister Datuk Seri Mustapa Mohamed mentioned that the national car company must meet criteria set by the government.
According to him, Proton must be able to convince the government of its new business model, new strategic plan for local and overseas market.
Mustapa added, “A special task force will also be set up and it will be led by Pemandu chief executive Datuk Seri Idris Jala. This team will overlook Proton’s transformation plan and to ensure that it is successful.”
New Straits Times reported that the new task force will comprise of six members, three from the Finance Ministry, International Trade and Industries Ministry, Economic Planning Unit (EPU) while the remaining three will come from the private sector. Those from the private sector will be identified later.
Furthermore, Mustapa also acknowledges that the government is aware that the automotive industry is a strategic industry. At the moment, there are 12,000 people employed under Proton, another 50,000 associated with vendors.
Via: New Straits Times
