SUNGAI BULOH: More Indian entrepreneurs are set to benefit from the increased allocation of RM100mil under the Indian Community Entrepreneur Financing Scheme (Spumi).
Deputy Entrepreneur Development and Cooperatives Minister Datuk Seri R. Ramanan said Budget 2025 set aside RM30mil to the fund, with RM70mil more derived from the National Entrepreneur Group Economic Fund (Tekun Nasional).
“Funds given to Spumi are usually completely used up, and year after year it is not enough,” he said during a Ponggal (Tamil New Year festival) celebration at the Dewi Sri Maha Karumariamman Temple here yesterday.
Ramanan said for this year, Prime Minister Datuk Seri Anwar Ibrahim allowed internal funds from Tekun to be used for the scheme so that more Indian entrepreneurs will benefit.
The increased financing for both Spumi and Tekun is expected to benefit some 4,500 entrepreneurs, he added.
“Tekun loans have already created more than 20,000 to 25,000 entrepreneurs,” he said, adding that the benefits will have a ripple effect on family members too.
He said the RM100mil fund was for Spumi and the Spumi Goes Big Financing Scheme, with each allocated RM50mil.
Both schemes are designed to offer comprehensive support, including capital and mentorship, to help entrepreneurs achieve sustainable success, he added.
Ramanan said the application process is being expedited to between four and seven days, instead of 14.
“I hope the Indian business community will take this opportunity to apply and go on to the next level,” he said, adding that applications are open from today.
Ramanan advised borrowers to repay on time, saying the repayment money can be used to help more entrepreneurs.
The Spumi financing scheme allows applicants to borrow from RM1,000 to RM50,000, while Spumi Goes Big is for borrowings from RM50,000 to RM100,000.
Since Spumi was introduced in 2008, more than 26,800 Indian entrepreneurs across the country have benefited with over RM500mil in financing.
Last year, RM58.9mil was disbursed to 1,863 Indian entrepreneurs while the Spumi Goes Big scheme, launched in the same year, has helped 287 entrepreneurs with financing totalling RM12.6mil.
