PETALING JAYA: Alliance Bank Malaysia Bhd
will be offering up to RM2bil in financing for small and medium enterprises (SMEs) through a latest partnership with Credit Guarantee Corp Malaysia Bhd (CGC).
Under the arrangement, Alliance Bank remains the financing provider while CGC provides the portfolio guarantee support.
Since 2018, Alliance Bank has disbursed close to RM3bil under various CGC guarantee schemes, delivering financial solutions to more than 5,000 SMEs nationwide.
In a statement yesterday, the bank said it will make available financing facilities for eligible SMEs across the country to be utilised for working capital and business expansion.
“This initiative underscores Alliance Bank’s commitment to supporting SMEs by expanding financing avenues that can enable businesses to seize critical growth opportunities and build long-term sustainability amid current global uncertainties.”
The portfolio guarantee agreement for the latest partnership was signed by Alliance Bank group chief executive officer (CEO) Kellee Kam and CGC president and CEO Mohamed Nazri Omar.
The signing was witnessed by Raymond Chui, group chief business and transaction banking officer of Alliance Bank, and Sean Tan, chief business officer of CGC.
With SMEs navigating an increasingly difficult operating environment, Alliance Bank highlighted that timely and adequate financing can bridge gaps, enabling affected businesses to sustain operational efficiencies, adopt greater digitalisation and strengthen market presence.
Kam said the bank’s RM2bil commitment alongside CGC reflects its proactive mandate to champion Malaysian SMEs.
“We recognise that collateral requirements can stifle viable businesses.
“Through this portfolio guarantee, we are dismantling those barriers to ensure entrepreneurs have the liquidity they need to innovate, scale, and navigate economic headwinds with confidence.
“As The Bank For Life, we stand ready to empower their sustained growth,” according to him.
Alliance Bank has streamlined its application process to improve turnaround time and support a wide array of requirements, while maintaining prudent risk management practices.
The portfolio guarantee structure enables the bank to extend financing more efficiently to support SMEs at various stages of their business lifecycle, including those constrained by limited collateral.
Mohamed Nazri of CGC said: “This collaboration with Alliance Bank reflects CGC’s continued commitment to strengthening access to financing for SMEs, supporting businesses across different stages of growth.
“The RM2bil portfolio guarantee will enable more businesses to obtain the funding they need for working capital and expansion, while enhancing their resilience amid an evolving economic landscape.”
