KUALA LUMPUR: Bank Negara Malaysia will inject an additional RM2.5 billion into its fund supporting small and medium enterprises (SMEs), following Prime Minister Datuk Seri Anwar Ibrahim’s New Year announcement on the fund’s expansion and a new credit guarantee scheme.
“As announced, an additional RM2.5 billion will be provided under Bank Negara’s fund, with a focus on channelling these funds to first-time borrowers,” Bank Negara said in a statement.
Bank Negara said it has already provided RM32.4 billion in concessional financing to support SMEs through participating financial institutions.
“The upsize increases the total allocation under the fund to RM34.9 billion,” the central bank said.
Moving forward, Bank Negara will transition towards guarantee-based support, targeting guaranteed financing amounting to RM10 billion.
The transition to credit guarantee schemes aims to benefit a wider segment of SMEs, including first-time borrowers and new entrepreneurial activities.
The scheme will be implemented in collaboration with Credit Guarantee Corporation Malaysia Bhd and financial institutions.
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