KUALA LUMPUR: Digital bank GX Bank Bhd and CGC Digital have formed a strategic collaboration to offer micro, small and medium enterprises (MSMEs) digital guarantees for credit access of up to RM150,000.
CGC Digital is the financial technology (fintech) arm of Credit Guarantee Corporation Malaysia Bhd.
In a joint statement, they said GX Bank would also accept personal bank statements for business account applications and credit assessments, through its enhanced GX Business Banking Suite.
They also said that these updates would enable sole proprietors to build a verifiable business credit history while addressing Malaysia’s RM90 billion MSME credit gap.
"The collaboration with CGC Digital introduces a digital-first guarantee that serves as the structural backbone for higher approved limits.
"With over half of customers opting-in organically, this high early adoption rate underscores the clear demand for scalable credit as MSMEs move beyond micro-financing towards business expansion,” it said.
Meanwhile, GX Bank chief executive officer (CEO) Kaushik Chowdhury said that since the launch of GX Business Banking, the bank’s data-driven underwriting has led to over 1,000 GX FlexiLoan users and a 70 per cent loan utilisation rate across its business banking portfolio.
"In just 30 days, our partnership with CGC Digital has seen over RM3.3 million in loan approvals - bridging the credit history gap through alternative data and digital guarantees.
"We are now further lowering barriers by accepting personal bank statements as income verification to help more entrepreneurs scale,” he said.
At the same time, CGC Digital CEO Yushida Husin said that by integrating guarantee support within digital banking ecosystems, CGC Digital is enabling financial institutions to serve segments that have traditionally been underserved, while giving MSMEs a more equitable pathway to access growth capital. - Bernama
