SHAH ALAM, Aug 13 — The “underdeveloped” care economy sector has the potential to become an important enabler of Selangor’s economic growth, said state executive councillor for women empowerment and social welfare Anfaal Saari.
Unpaid care work in Malaysia is estimated to be worth about RM379 billion annually, highlighting the sector’s significant economic value and untapped potential.
“The care economy is an economic sector that is developing in Selangor. It may appear small, but it is actually an enabler of Selangor’s progress.
“Without a comprehensive care ecosystem, Selangor’s human resources cannot be fully utilised,” she said during her winding-up speech on the Selangor Second Plan (RS-2) at the State Legislative Assembly sitting today.
Anfaal added that strategic public investment in the care sector could potentially boost the state’s gross domestic product by up to six per cent, increase employment by nine per cent, and raise household incomes by 11 per cent through the expansion of value chains in healthcare, education, and professional services.
The Selangor Care Economy Policy 2024-2030 places a focus on affordability and equitable access to care, especially for B40 and M40 households.
“Those who are wealthy can afford expensive long-term care. However, those who are less privileged should not be left behind in accessing quality long-term care, while maintaining a high quality of life in old age,” she said.
Similarly, Selangor has begun discussions with several parties to explore sustainable financing models for care centres, including the use of wakaf and non-Syariah-compliant funds.
It is also studying financing models from Japan, China, Singapore, Turkiye, and Japan’s Kaigo Hoken, a mandatory public long-term care insurance system for residents aged 40 and above, designed to provide affordable senior and disability care.
Anfaal noted that a roundtable involving state and federal stakeholders will be held on Monday (August 17) to discuss sustainable care financing and gather input on how to make the care economy accessible to all.
The councillor highlighted the potential of the silver economy, as Selangor’s average life expectancy of 78 years — the highest in Malaysia — means more people aged 60 to 70 remain healthy, skilled, and willing to work.
“The silver economy will allow senior citizens to remain productive and able to work,” she said.
The state government has also conducted an elderly needs assessment and held the Iltizam Emas Selangor Roundtable to study the implementation of a silver workforce.
However, before implementing, it would need to establish an ecosystem covering legislation and guidelines, insurance protection, reskilling and upskilling programmes, and advocacy.
Anfaal underscored Selangor’s plans to establish a Selangor Care Navigator (Rakan Penjaga Selangor) in every district to connect people requiring care with suitable assistance and programmes.
