City Case Studies: Asia and the Pacific Region

Case Study: Subang Jaya, Malaysia Jaya, Subang Case Study: Asia and the Pacific Region the Pacific and Asia during and after COVID-19 and after during Building Urban Economic Resilience Resilience Economic Urban Building City Case Studies: Asia and the Pacific Region and responsibility aswelloncivileducation. safety andincreasing concerns, governance cost. Therealso aneed to is improveawareness community regulationon that the city faces evento prior COVID-19unity,and locations, includeeconomicgapsamongcommunities health and JayaSubang Selangor,in a city is Malaysia, km awaylocated 20 and is fromKuala Lumpurcentre.city Challenges Pre-existing Challenges Source: SubangJaya CityCouncil. Number of inhabitants Area Status 950,000 (2019) 16, 180Hectares Secondary Subang Jaya, Malaysia City Case Studies: Asia and the Pacific Region As of August 2020 August of As case) th 437 369 4 26 February 2020 (Malaysia’s 25 2020 (Malaysia’s 26 February Labour Market Labour growth GDP Malaysia’s Research, a report Institute of Economic to the Malaysian by According statement that (BNM) said in a recent Malaysia The Bank Negara 2.61% in 2020. by will contract It also estimated that 951,000 +0.5% range. will be in the -2.0% to economic growth Malaysia’s people will lose their jobs. Data from November 26 2020 Confirmed Recovered Deaths First reported case First reported Main economic and financial impacts and financial economic Main (OECD), the COVID-19 and Development Co-operation for Economic Bank and the Organisation the World to According The growth. GDP negative worst-case scenario, or in the a 2.4% contraction, in a result to projected been has pandemic lose their jobs. Malaysia, may worldwide that 25 million workers predicted has (ILO) International Labour Organisation the small countrywhich is a feel on other nations dependent such China, to as the United States and is also expected pinch. Brief description of COVID-19 in the city the city in COVID-19 of description Brief Subang Jaya, Malaysia Jaya, Subang Study: Case In response to the COVID-19 pandemic, on 18 March 2020, the 2020 Movement Control Order (MCO) was implemented Order Control 2020, the 2020 Movement pandemic, on 18 March COVID-19 the to In response of Infectious Control and under the Prevention of Malaysia government the federal by measure as a preventive of mass prohibition general included the following restrictions: The order Act 1967. Diseases Act 1988Police and the sports, including religious, activities; sanctions social, and cultural the country, and gatherings across movements check and a 14-day a health undergo to requirement and for those returning, abroad, travelling all Malaysians covering country; the of into closure visitors entry on the foreign and restrictions of all tourists (or self- quarantine); quarantine education institutions higher and public private of all and schools; closure kindergartens,all private and government, in for those involved except premises and private of all government institutes nationwide; and closure skills training essential services. on 9 June, with the end would Order Control On 7 June,Prime Minister Conditional the announced that the Movement Interstate 10 June and 31 August. phase between (RMCO) Order Control Movement country the Recovery entering into Movement under the Enhanced remaining in areas the RMCO except 10 June under from would be allowed travel (EMCO). Order Control City Case Studies: Asia and the Pacific Region wind uptheiroperations iftheCOVID-19 chainofinfection persistsforthree to sixmonths. and CreativityCentre predictedand medium-sizedsmall- of 40% thatabout havewill enterprises to havestill, laid-offworkers asthey are unableto bearthecosts. The Malaysian GlobalInnovation entire sector has stopped working. Some production firms have also stopped operations, and worse haveindividuals andbusinesses chains were beenimpacted.Supply the because almost disrupted ashotelsand such companies.Aftertheoutbreaktransport entered the secondwave and theMCOwasimposed,more certain industries, hit has directly outbreak the COVID-19 of wave first The Business Environment unemployment rate. growtheconomic help stimulate will through effect themultiplier and reduce thehikethe in the economyby revive to help increasing aggregateand privateas public demand such and investment. consumption This will and one another, complement policies monetary and fiscal cases tocontinue and novaccines rise, are positive discovered tothe government’s treat the disease. Nevertheless, COVID-19 as long as recover fully will economy the when predict to difficult is It individuals andbusinessesfacingfinancialproblems andliquidityconstraints. help also will It stability. to returns market financial and capital the that ensure will moratorium from that,the restructuringand rescheduling economic activities.Apart stimulate of the six-month ratioSRR by or topoints basis 100 2%. reducewill These cuts improve loancosts, liquidity,and PolicyRate orOPR bytopoints 25basis 2.5%,andhasreduced reservethe statutory requirement toand subsidy subsidy pettytraders. policy,of monetary In terms the Overnight BNMhascut and moratoriumrepayment.loans on by Subsidization Government theState income includes thathad been givento includes incomesubsidy government, the lower incomegroupthe support federal the by package stimulus economic via financial the of assistance the Through pandemic. The 'new normal' in 2020 will demand a new and more flexible approach to weather the storm of the Economic Governance RM 90million. to decrease by 30%fromtomillion RM305 which showsareductionmillion, RM213 inrevenue of increase caused. is deficits in Theestimateddifference in revenue thecurrent for projectedyear is a barrel60 US$ was tabled.Whengovernment whentheBudget2019 revenue fromdrops, oil an tocaused oil prices tumbledownto30 a barrel. US$25–US$ wereoil prices In comparison, around has crisis economic global the that, to add worsen. To to position nation’sfiscal the caused also and strengthenbusinesses, however, theeconomy; support the people, packages the stimulus and PRIHATIN RM20billion worth that aimed to RM250billion) protect thewelfare worth of The government deliveredthe earlystagesoflockdownpackages during stimulus (PRE2020 Financial Environment City Case Studies: Asia and the Pacific Region All partners All contribute equally Private Private stakeholders important more − − − − − Central Central government important more − − − − − Local Local government important more − − − − − Institutional Institutional responsiveness* Business environment environment Financial governance Economic arrangements Contribution of different sectors in the management (e.g. planning, reallocation, and reallocation, (e.g. planning, in the management sectors different of Contribution crisis during the COVID-19 resources relevant of mobilisation) Labour markets Labour * Local government business continuity, adequate fiscal space, and uninterrupted delivery of key public serviceskey fiscal space, and uninterrupted delivery adequate of business continuity, * Local government Crisis Response and Recovery Measures Measures Recovery and Response Crisis Security the National to the local authority assists adheres and State Government, and Under the purview the Federal of District Security Committee under Petaling (e.g. of governments levels all between Council coordinate guidelines and Department,Department, Health Jaya Subang The Welfare etc.). Army, Police, District The Officer, supervisionthe of ensure the MBSJ business continuity to plan (MBSJ), has also executed Subang Jaya City Council, Majlis Bandaraya the pandemic. and subsistence during safety citizen’s main tasks whose COVID-19, Room for startSince the has set up an Operational crisis, Subang Jaya of COVID-19 of data specifically, more cases worldwide, and COVID-19 of daily and cumulative data collect and display to are The schedule of daily City Council. District, and within Jaya the Subang Petaling State of Selangor, cases in Malaysia, various not only within the collaboration good has been There here. also prepared staff are activities for SubangJaya’s departments in City Council but also with other external departments Department.Rescue and such as the Fire City cases during the early COVID-19 positive Office in contact tracing Health Council the Petaling Staff has also assisted pandemic. phase of COVID-19 public places and ensuring that essential City Council during MCO include monitoring The functions of Subang Jaya the hours and implementing social distancing through operating regulating by services conducted safely are function, that cleaning continue to area This includes collection general ensuring and that garbage team. enforcement disinfect and that operators disinfected, are and bus stops in working condition, good that markets are all infrastructure e-hailers, food handlers, and the poor; register solutions to also distribute food and disinfecting They their premises. dispatchers; and provide emergency assistance (e.g. fallen trees and flash floods). MBSJ supports in contacttracing; public the Departmentassists Health the disseminated to latest information that all the are ensures and making; in PPE via social media. City Case Studies: Asia and the Pacific Region debit payment. rentalworkspace for term direct andimposing a short as transformingsuch a library intoopportunities business platform. Theyleverage also to assets existing create new and creating mobileappsforchecking and payment via email, increasing awareness ononlinetransactions, customer-friendly approach such as sending notifications Theyby harnesstechnologicalsolutions a implementing sourcesincome andreducing administrationcosts. new finding by flow cash sustaining involve would This 4. 3. 2. 1. as oneofitsDisasterRiskManagementstrategies: it hasalsoproactively developed a Financial Back-UpPlan JayaWhile Subang responseits prioritizing is management, Contingency budget–RM1.5M contributions TrustISF,fund – Development Charge, Developer productivity. innovationscreatethat and increasecost less a paperless policy,imposing andimplementing staff, laying-offmeeting expenses, underperforming toshifting in-housetrainingscutting and courses, as reducing such and administrativecosts overtime toup costs 20%, habits financial good Practice Maintain 4-monthsexpensesforreserve digital technology Local revenue administration through businesses andresidents Vertical collaboration to assistlocal business activities. area andprovidingsafe for locations hawkeradministrationtheir in permits affected groupsby awarding temporary implemented aninitiative to support cooperation withGRAB. MBSJ hasalso – SelangorStateGovernmente-BAZAR InitiativesSmall LocalEntrepreneur on : Post-Covid19 Development Fund and as throughsuch businesses, local for the State Government; and providing support those ofpettytraders, by the Selangor including of incomes, the subsidization package from theFederal Government; stimulus oftheeconomic the delivery in measuresthe grass for rootlevel. Itassists focused onrecoveryfor budget 2021, collaboration residentsthrough vertical providesMBSJ to assistance traders and services. and other application license business and promoting onlinetransactionsfor with zero interestassessed taxes;for or email via telephone; introducingplan instalment an notification sending by a friendly approach to customers diversifyingpayment exhibiting channels; awarenesstransactionsonline on and This includesmeasures suchasraising flow. cash generating and administration local revenues by improving revenue launched aprogrammeMBSJ to enhance

City Case Studies: Asia and the Pacific Region

during and after COVID-19 and after during Building Urban Economic Resilience Resilience Economic Urban Building