Cradle contributes RM1.83bil to GDP

Cradle acting group chief executive officer Norman Matthieu Vanhaecke

PETALING JAYA: Cradle Fund Sdn Bhd, the lead agency supporting the Science, Technology and Innovation Ministry (Mosti), has contributed RM1.83bil to the country’s gross domestic product (GDP) since its establishment in 2003.

In a statement, Mosti said Cradle has been fulfilling its core mandate of financing local startups, distributing RM255mil worth of grants to over 1,000 local entrepreneurs.

“Cradle’s grant recipients have contributed RM830mil to local GDP, whilst achieving the highest commercialisation rate among government grant providers at 100% for its commercialisation grant, and 76% for its prototype grants programmes.

“To date, the startups funded by Cradle have created more than 80,000 jobs.”

According to Mosti, Cradle’s investment programmes - Cradle Seed Ventures (CSV) and DEQ800, have recorded a contribution of RM1bil to the GDP through 43 investment portfolios, having raised RM182mil worth of follow-on investments.

To date, the startups funded by CSV and DEQ800 programmes have generated over 1,000 jobs.

“In a bid to expand the impact of Cradle's initiatives, its mandate was extended beyond grant financing to include capacity building programmes such as the Coach and Grow Programme (CGP), which offered rigorous coaching and mentorship to early-stage startups.

“CGP has benefitted more than 1,500 participants through 5,000 hours of mentorship.”

Following the announcement of the Malaysia Startup Ecosystem Roadmap (SUPER) 2021-2030, Mosti said Cradle holds a vital role in shaping the nation's startup policies, overseeing 16 comprehensive interventions spanning five main areas which are funding, talent, innovation, policies and regulations, and market environment with the vision to place Malaysia among the top-20 startup ecosystem in the world by 2030.

“MYStartup, a data-driven community initiated by Mosti and powered by Cradle, serves as one of the interventions under SUPER 2021-2030 with the aim to drive the development of the nation's startup ecosystem.

“To date, the MYStartup initiative has made a direct impact on more than 5,000 industry players. Its digital platform has also received over 70,000 visits, recording over 4,000 registered users and 3,500 registered startups.”

Science, Technology and Innovation Minister Chang Lih Kang said startups play a pivotal role as crucial drivers of innovation, constantly seeking opportunities to challenge norms and embrace risk-taking.

“This resilience and innovative spirit were evident during the Covid-19 pandemic, where local businesses, fuelled by their commitment to innovation, emerged even stronger.

“At the heart of this dynamic startup ecosystem stands Cradle, wholeheartedly championing early-stage startups, and nurturing their growth.”

Meanwhile, Cradle acting group chief executive officer Norman Matthieu Vanhaecke said that the extended mandates that were entrusted on Cradle signify the confidence as well as Cradle’s ability to spearhead the development of early-stage startups, at the same time, further solidifying the local startup ecosystem.

“We realise that as technologies evolve and funding requirements grow, the proficiency of local startups must also be nurtured.

“Together, the mandates entrusted on Cradle create a synergistic approach that enables startups to thrive, and through a seamless integration, startups can maximise their potential, overcome challenges and contribute to economic development as well as job creation.”

Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

Cradle Fund , GDP , MYStartup


Next In Business News

Asian shares wobble with Wall Street, oil helps boost bonds
OPEC+ output cuts may do little to add vigor to the global oil market
MIDF Research expects Malaysia's GDP growth to improve to 4.7% in 2024
Yuan slips, weighed by mixed trade data, Moody's outlook
CIMB Bank introduces Account 2 support facility for EPF members
Maybank named best bank in Asia Pacific and Singapore
FBM KLCI stays in the red on negative market breadth
China's exports grow for first time in 6 months, imports unexpectedly shrink
Banking industry's asset quality remains robust - RAM Ratings
CPE Technology makes debut on Main Market at 90 sen

Others Also Read