KUALA LUMPUR: While MCA's investment arm Kojadi is known for its education loan programmes, it has embraced diversification and established itself as a major financial institution for small and medium enterprises (SMEs), said Datuk Seri Liow Tiong Lai.
The MCA president said among the loan schemes offered by Kojadi, or Koperasi Jayadiri Malaysia Berhad, were Micro-Credit Loan Scheme for Youth, Tukar (Retail Shop Transformation), Atom (Automotive Workshop Modernisation) and government-provided, interest-free loans worth RM150mi to help Chinese SMEs.
“The Kojadi SME Loan Scheme was started back in 2015, and it has so far issued over RM127mil in loans, benefiting a total of 693 members.These SME loan schemes have played an active role in (helping) domestic SMEs, especially Chinese SMEs,” he said.
Speaking at Kojadi's 36th annual general meeting at Wisma MCA here on June 24, Liow said the percentage of non-performing loans for SMEs has stayed below the 1% threshold.
This demonstrated that Kojadi has rigorously assessed loan applications and maintained a professional attitude in their credit management, he said.
Liow added that he hoped Kojadi would introduce more innovative packages in the financing of SMEs and turn them into another signature product.
He commended Kojadi for not forgotting its origins amid its transformation and has continued to expand its education loan schemes.
It now boasts 13 different education loan programmes, covering various fields from vocational education to postgraduate courses.
He added that Kojadi has issued over RM255mil in loans benefiting approximately 11,000 students and said that Kojadi is one of the most prominent loan scholarship organisations in the country aside from the Government.
“I believe this makes Kojadi the one and only organisation in Malaysia to provide such extensive consideration to meet the needs of students’ skills training and tertiary education, said Liow.