The Retirement Fund (Incorporated) (KWAP) has introduced the Jana MyPesara initiative, a RM20 million microfinancing programme aimed at helping retirees manage and operate businesses more systematically.
Finance Minister II Datuk Seri Amir Hamzah Azizan highlighted that microfinancing offers a sustainable solution for Malaysia’s ageing population, noting that many retirees struggle to access credit through conventional channels despite having the skills and experience to run businesses.
“Jana MyPesara is an ideal initiative focusing on economic participation at the grassroots level,” he said during the launch ceremony. The programme not only provides financial support but also offers guidance and mentoring to ensure retirees can operate their ventures successfully.
Under the MADANI Economy framework, the initiative reflects the government’s commitment to inclusive growth by enabling retirees to engage in income-generating activities and strengthen their financial resilience.
The pilot programme targets 3,000 retirees, with funding ranging from RM1,000 to RM30,000 per participant.
Malaysia is currently undergoing a demographic shift, projected to reach aged nation status by 2048 when 14% of the population will be aged 65 and above.
The Jana MyPesara initiative stems from a KWAP survey, which revealed that nearly 60% of respondents expressed interest in entrepreneurship post-retirement, mainly to supplement their income. Amanah Ikhtiar Malaysia (AIM) will serve as the programme’s implementing partner. KWAP presently serves over 810,000 pension recipients nationwide.
