Govt To Empower MSME To Drive Malaysia As Entrepreneurial Nation

Bernama English

21 May 2024

Govt To Empower MSME To Drive Malaysia As Entrepreneurial Nation

SIBU, May 21 (Bernama) -- The government through MADANI Budget 2024 will continue to focus on empowering micro, small and medium enterprises (MSMEs) to achieve the National Entrepreneurship Policy 2030 in making Malaysia an entrepreneurial nation.

Recognising the challenges faced by MSME in the form of everchanging economic conditions and that businesses are exposed and influenced by various external factors, the government offers various business financing programmes to facilitate business and improve the business environment.

"This business financing programme is implemented through development financial institutions or other government-owned financial institutions to meet the needs or request MSME customers and it is open to all eligible MSME nationwide," said Deputy Secretary of the Ministry of Finance's Strategic Investment Division Mohd Saiful Sungkih.

Speaking at the Sarawak State MSME Initiative Roadshow here today, he said the government implemented a subsidised financing programme for identified focus sectors by subsidising the interest rate of 1.5 per cent per year.

According to him, this can help reduce the cost of borrowing for loans given by financial institutions.

Mohd Saiful said besides the subsidised financing programme, the government also implements a financing programme with government guarantees under the Skim Jaminan Pembiayaan Perniagaan (SJPP).

Through the programme, the government is the guarantor of loans given by financial institutions to entrepreneurs.

According to him, the guarantee programme aims to address the problems or constraints faced by MSME companies that do not have or lack collateral to obtain credit facilities.

He also said that through the roadshow programme, the implementing agency of the financing initiative gave a briefing on the types of financing products offered, provided consultation to entrepreneurs on the methods to obtain business financing provided and the networking platform between MSME.

The programme was held in Kuching on May 11 and will be held in Bintulu this Thursday and lastly in Miri next Monday.

-- BERNAMA

 

(Web Source: https://www.bernama.com/en/business/news_budget.php?id=2299927)