108. In the 2011 Budget,  to ensure private sector employee and self-employed to have sufficient savings upon retirement,  I announced a tax relief up to RM6,000 for EPF and life insurance be extended to the Private Pension Fund now known as Private Retirement Scheme. In order to ensure the welfare of retirees upon reaching retirement age to live a comfortable life, I propose:

First:  A new tax relief up to RM3,000 on contribution to a Private Retirement Scheme and insurance annuity for 10 years. Thus, the existing relief on Private Retirement Scheme and insurance annuity is rationalised;

Second:  Tax deduction on employers’ contributions to a Private Retirement Scheme for their employees; and

Third:    Tax exemption on income of Private Retirement Fund.

Please consider this risk : Ten years later, this scheme may end up bankrupted, since Gov'ts can go bankrupt nowadays. What do you think of this current Gov't ?

This maybe?

http://www.hsbc.com.mt/1/2/insurance/financial-future/prp
http://www.unicover.co.za/

This type of Private Retirement Fund doesn't exist yet in Malaysia.
So Najib is just giving you "something" which you won't get "anything"

This private retirement funds available in some insurance companies. For example, you pay RM3000/year for 20 years plan, then insurance company will pay you a sum/yr on 21st year onwards, this is consider retirement funds. For those need to pay 26% for income tax, RM3000 x 26% = RM780 exempted. This type of retirement plans definately give you better return than FD, somemore you get tax relief. You save RM780/yr x 10 years (only tax relief for 10 years) = RM7800, yet you still enjoy the saving return.

Hope i answer the question here.

Very well explained . . . Only product with PRU can be exempted for Tax Relief is PRURetirement Reward.
Find out more in the forum.