EPF needs to set up Housing Bank, says Fomca

(BERNAMA) – The Employees Provident Fund (EPF) needs to set up a Housing Bank, to provide financing for contributors whose housing withdrawals fall short of the purchase price of their house, said the Federation of Malaysian Consumer Associations (Fomca).

Its president, Datuk N.Marimuthu, said that such a facility would be useful especially to the lower-income group, and overcome the need for the contributors to borrow from banks which imposed high interest rates.

In welcoming the EPF’s six per cent dividend for 2011, Marimuthu said it was a sign that the economy had been picking up.

“We are glad the dividend is higher. It is important to maintain a strong investment return even as the membership keeps growing,” he added.