SME Bank allocates RM2.1b to help SMEs under Penjana

  • SME
  • Tuesday, 30 Jun 2020

SME Bank is allocating up to RM2.1bil for the SME Go scheme and SME Technology Transformation Fund (STTF) under the Penjana programme.

KUALA LUMPUR: SME Bank is allocating up to RM2.1bil for the SME Go scheme and SME Technology Transformation Fund (STTF) under the Penjana programme.

The Entrepreneur Development and Cooperatives Minister Datuk Seri Dr Wan Junaidi Tuanku Jaafar said the allocation was expected to rejuvenate economic activities in construction sector by targeting G2 and G3 contractors.

The objective of the fund was also to increase SMEs' adoption of technology under the Fourth Industry Revolution (IR 4.0) to face the new normal.

SME Bank's allocation followed the mandate given by Prime Minister Tan Sri Muhyiddin Yassin to revitalise the SMEs economic activities during the Penajana announcement on June 5.

SME Bank group president/CEO Aria Putera Ismail said the bank’s two-year acceleration programme involving digital transformation in 2019 had well positioned the bank to implement its mandated roles as well as supporting the government to execute key initiatives to help SMEs during the Covid-19 pandemic.

Under the SME Go scheme, it is allocating RM1.6bil where the target recepientsare the 16,000 G2 and G3 contractors.

The financing purposes are working capital financing for pre-implementation stage of a construction or supply or maintenance contract awarded by Federal or State Governments, ministries, departments or agencies.

The margin of financing is up to 100% of the contract cost.

As for the allocation of RM500mil for the SME Technology Transformation Fund, it is targeted at SMEs in the services and manufacturing sectors.

The financing would be for the purchase of equipment, machinery, computer hardware and software, IT solutions and services, technology support services and other intangible assets to enhance productivity, efficiency and greater market penetration.

The magin of financing is up to 80% of the acquisition cost (up to maximum RM3mil).

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!


Next In SMEBiz

Small business owners receive help to thrive
Supporting the automation dream
Business survival insights from homegrown SMEs
Retailers must understand tech-driven shifts to better serve clients
Ultra-rich steered toward new ESG entrepreneurs
Filling the gap for digital talents
Continued appeal in P2P lending
MDEC, AFG to facilitate funding for tech companies
Going further into the region

Others Also Read