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Name of Scheme Automation Process Guarantee Scheme (“APGS”)
Objective To assist SME companies in all sectors to gain access to financing from participating Financial Institutions (FIs) to automate production processes and reduce employment of foreign workers
Scheme Limit RM1.0 billion (on a revolving basis until expiry of the Scheme)
Eligibility Open to all SMEs companies under all sectors incorporated under the Companies Act 1965 and/or Companies Act 2016 with at least 51% shares held by Malaysian and shareholders’ fund below RM20.0 million
Purpose of Financing The facility is to be used for capital expenditure (CAPEX) only and cannot be used to refinance existing facility granted by the same or other participating Financial Institutions (“FIs”).

The participating FIs and/or SJPP will be responsible for determining the genuineness of the borrower/customer based on their respective credit evaluation procedures
Guarantee Coverage 70% guarantee to the financing obtained from the participating FIs (including principal and interest/profit) by the Government of Malaysia
Guarantee Fee 1.0% per annum payable upfront
Financing Limit Minimum: RM100,000.00 only

Maximum: RM5.0 million only
Tenure of Financing For a period of thirteen (13) years or until 31st December 2030, whichever is earlier
Interest /Profit Rate Determined by participating FIs
Type of Facility Term Loan/Term Financing, Overdraft, Trade Facility
Participating FIs Open to all Commercial Banks, Islamic Banks and Development Financial Institutions under the purview of Bank Negara Malaysia
Source of Funds From the participating FIs
Availability / Application Period Opened from 1st January 2018 and upon full utilisation of the scheme limit of up to Ringgit Malaysia One Billion (RM1.0 billion) only or upon expiry of guarantee tenure on 31st December 2030, whichever is earlier