Govt unveils collateral-free financing for Chinese MSMEs


KUALA LUMPUR: The government has announced new financing schemes for Chinese micro, small and medium enterprises (MSMEs).

Entrepreneur Development and Cooperatives Minister Steven Sim unveiled two new financing schemes for Chinese MSMEs, offering loans without collateral ranging from RM1,000 to RM3mil.

The RM100mil initiative, launched through SME Bank and Bank Rakyat under the ministry’s framework, aims to improve access to financing for Chinese MSME operators, a segment Sim said had not previously been specifically covered by similar targeted schemes.

Under the SME Bank's Success financing programme, businesses can apply for financing of between RM100,000 and RM3mil at rates as low as 3.5% per annum.

For Bank Rakyat, its BR Prosper-i scheme offers financing from RM1,000 to RM1mil at rates starting from 4.5% per annum.

Sim said the schemes mark a new approach, noting that previous government financing initiatives had focused on Malay, Indian, Sabah and Sarawak communities.

More to come.

 

 

 

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