Proton gets soft loan from Govt

Lifeline: Among the fresh conditions imposed on Proton is the need to draw up a turnaround plan, a way to expand its market domestically and internationally, and a tie-up with a well-known strategic partner.

JUST a week after giving an ultimatum in terms of what Proton must do to receive more Government funding, the Cabinet yesterday approved a soft loan of RM1.5bil in which a bulk of that money will be used to pay its vendors.

The Government also says a number of conditions will be imposed on Proton to rehabilitate the company. The statement by Minister of International Trade and Industry Datuk Seri Mustapa Mohamed says Proton needs to convince the Government its new business model is progressive and competitive.