KUALA LUMPUR: About 3.6 million Employees Provident Fund (EPF) contributors have less than RM1,000 in their respective accounts, says the Finance Ministry.

       The Finance Ministry said based on assessment as of Sept 30, there had been withdrawals amounting to RM101bil through the i-Lestari, i-Sinar, i-Citra programmes.

       "Some 6.1 million members have less than RM10,000 in their accounts.

       "From that number, 3.6 million contributors have less than RM1,000," said the Finance Ministry in a parliamentary written on Tuesday (Nov 16).

       At the same time, the Finance Ministry said dwindling EPF savings is even worrying among the bumiputra, where it is estimated that 78% of the contributors have applied to withdraw their money from EPF savings.

       "As a result, 4.4 million, or 54% bumiputra members have less than RM10,000 in savings.

       "Two million, or 25%, have less than RM1,000 in their savings."

       The Finance Ministry also said the B40 EPF contributors who consist of more than five million contributors have seen their savings reduced to an average of RM1,005.

       Meanwhile, the Finance Ministry said as of Sept 30, EPF contributors aged between 45 and 59 recorded an increase of 55,000 members to 1.62 million.

       "That's an increase of 3.5% from 1.56 million active EPF contributors since Dec 31, 2019.”

       From the active 1.62 million contributors, about 479,000, or 29.6% of them have savings not more than RM50,000.

       Though more than 70% of EPF contributors aged between 45 and 59 have savings exceeding RM50,000, the ministry said it was not sufficient for retirement.

       It said RM50,000 is only able to provide retirement income averaging at RM200 for 20 years, or RM1,000 a month for four years.

       "Since this age group only has less than 15 years before retirement, they are facing challenges in building adequate retirement savings."

       The Finance Ministry was responding to Datuk Seri Dr Wan Azizah Wan Ismail (PH-Pandan), who asked the government to state figures of active EPF contributors having savings less than RM50,000.

       The i-Lestari, i-Sinar, i-Citra programmes was a series of aids introduced by the government since last year to assist Malaysians to weather the economic effects of the Covid-19 pandemic.