KUALA LUMPUR: Credit Guarantee Corp Malaysia Bhd (CGC) recently secured the Development Award 2015 from the Association of Development Financing Institutions in Asia and the Pacific (ADFIAP) in recognition of its forward-looking Islamic Wholesale Guarantee (WG-i) scheme.
CGC president and chief executive officer Mohd Zamree Mohd Ishak said the award reflected its ability and expertise in developing and delivering innovative financing products that could have a great impact on small and medium enterprises (SME) growth and outreach.
Launched in April 2014, he said the country’s first Islamic SME wholesale guarantee scheme was developed to ensure that banks continued to have the ability to lend to SMEs with the benefit of a CGC guarantee.
“To date, about RM500mil worth of SME financing in the books of OCBC Al-Amin has been guaranteed by CGC, benefiting more than two thousand SMEs,” he said in a joint statement.
The award for WG-i is the second to be accorded to CGC by ADFIAP. In 2012, CGC received ADFIAP’s Development Award for its portfolio guarantee scheme under the SME development category.
The WG-i, involving OCBC Al-Amin Bank’s existing unsecured SME portfolio, sees the ratio of risk involved in the financing of businesses being shared equally between CGC and OCBC Al-Amin Bank for a guarantee period of five years. — Bernama