Government Guarantee Scheme MADANI 2026 – BNM SRF (GGSM4 SRF)

• Scheme Limit:
  RM2.5 billion

• Scheme Objectives:
  Provide short-term financial relief and alleviate cash flow constraints faced by SMEs, amid economic shocks

• Eligibility:
  Viable SMEs materially affected (i.e. resulting in financial stress) by trade and supply chain disruptions from geopolitical conflict in West Asia.
  
  (Reference to the guidelines* for the definition of MSMEs issued by SME Corp Malaysia and certified by the National SME Development Council);
  • Sole proprietorships owned by a Malaysian citizen;
  • Partnerships and Limited Liability Partnerships controlled and majority owned by Malaysian citizens; or
  • Companies with at least fifty-one per cent (51%) shares held and controlled by Malaysian citizens.
  
  Which are duly registered with:
  • Companies Commission of Malaysia either under the Registration of Business Act (1956) or the Companies Act (1965 / 2016) or Limited Liability Partnership Act 2012 (private limited, sole proprietorship and partnership); or
  • Respective authorities or district offices in Sabah and Sarawak; or
  • Respective statutory bodies for professional services providers.
  
  Excludes:
  • Entities that are publicly-listed (except on the ACE Market or LEAP Market of Bursa Malaysia), Government-linked companies (GLC), companies owned by Minister of Finance Incorporated (MoF Inc.) and State-owned enterprises,
  • Subsidiaries in which at least 51% of the shares are held by the entities referred to in item (i) above,
  • Business entities where shareholders / directors / owners are civil servants, who are currently in service, except with prior written approval obtained from the employer -Majikan / Ketua Jabatan.
  
  * As defined under the said guidelines; Full-time employees include all paid workers working for at least 6 hours a day and 20 days a month; or at least 120 hours a month. Full-time workers also include foreign and contract workers.

• Purpose of Financing:
  Working Capital only
  
  The facility shall not be used to refinance any existing facilities granted by the same or any other financial institutions.

• Type of Facility:
  Term Loan / Term Financing-i

• Years in Business:
  At least 3 years from the date of application (including conversion / upgrade from Sole-proprietor and Partnership under similar business activity).
  
  If between 2 to 3 years in business, the key person must be in similar nature of businesses for 3 years or more.

• Financing Limit*:
  Up to RM750,000 only per company
  
  This is subject to a Single Customer Exposure Limit (“SCEL”) for each company is to be capped at RM30.0 million and the aggregate Group Limit (including Related Parties) not exceeding RM50.0 million for all other schemes under SJPP (present and future schemes) including DPGS. Group is defined as companies under the same group by way of shareholding (holding 50% or more), directors (providing guarantees), related guarantors and including Related Parties.
  
  Note:
  DPGS - Danajamin Prihatin Guarantee Scheme

• Guarantee Coverage:
  Up to 80% guarantee coverage

• Guarantee Fee:
  0.50% per annum payable upfront

• Interest/ Profit Rate:
  Up to 3.75%, inclusive of guarantee fee

• Tenure of Guarantee:
  Up to five (5) years

• Source of Fund:
  Provided by Bank Negara Malaysia (BNM)

• Availability:
  Applications are opened until 31 December 2026 or until full utilisation of the scheme limit, whichever is earlier.