Penang: Small and medium enterprise (SME) entrepreneurs in the country have been urged to seize the opportunity to apply for financing under the SME Stabilisation Relief Facility (SME SRF) provided by the government to help their businesses navigate current economic challenges. Entrepreneur and Cooperatives Development Minister Steven Sim highlighted the increased number of financial institutions now participating in the disbursement of these funds.
According to BERNAMA News Agency, the number of financial institutions involved has increased to 20 banks, up from the 18 banks announced previously. 'As we are aware, Bank Negara Malaysia (BNM) recently announced the RM5 billion SME SRF special financing facility, which is part of the government's efforts to ease the burden on entrepreneurs and help them address the impact of global economic challenges, including the global energy supply crisis,' Minister Sim stated.
He made these remarks at a press conference following a walkabout with Penang Chief Minister Chow Kon Yeow at the Balik Pulau Morning Market, held in conjunction with the Chief Minister's outreach programme. Among the banks involved are Bank Islam Malaysia Berhad, Bank Pertanian Malaysia Berhad (Agrobank), Small Medium Enterprise Development Bank Malaysia Berhad (SME Bank), Standard Chartered Bank Malaysia Berhad / Standard Chartered Saadiq Berhad, and United Overseas Bank (Malaysia) Berhad.
Minister Sim further elaborated that under the facility, eligible SMEs can obtain financing of up to RM750,000 at a low profit or interest rate of 3.75 per cent per annum for up to five years. 'At the ministry level, we are targeting the disbursement of RM15 billion in financing to entrepreneurs this year and, as of last April, RM4 billion had been channelled to more than 150,000 entrepreneurs nationwide,' he said.
He also mentioned that the ministry is working closely with all 20 participating banks to facilitate the financing application process for SME companies. Interested entrepreneurs and traders can obtain further information on the list of participating banks through BNM's website before submitting their applications.