KUALA LUMPUR: Two special financing programmes worth RM80mil have been introduced to boost Bumiputera and Chinese micro-businesses during upcoming festive seasons.
The Entrepreneur Development and Cooperatives Ministry announced the People’s Ramadan Business Financing Scheme (Barakat) and the Special Financing Programme for Chinese-Owned Micro Enterprises (Berkat).
Barakat, specifically for Ramadan business owners, has been allocated RM50mil, while Berkat for Malaysian Chinese business owners amounts to RM30mil.
The programmes are managed respectively by TEKUN Nasional and SME Corp Malaysia.
“The implementation of both programmes reflects the government’s commitment to supporting traders during major festive seasons,” Minister Steven Sim told a press conference at SME Corp on Thursday (Feb 5).
He said the schemes include the "ABCD strategy" to ensure entrepreneurs can access capital and navigate the application process more easily.
The ABCD pillars represent Accelerating Productivity, Bureaucracy Reduction, Capital Accessibility, and Developing Market Access.
Under the Barakat scheme, individuals can receive up to RM30,000 with a profit rate of 3% per annum and a financing period of up to 12 months.
Sim noted that this scheme is expected to benefit small traders in the food, clothing, and daily necessities sectors ahead of Aidilfitri.
Meanwhile, the Berkat programme also offers financing of up to RM30,000 at a 3% profit rate per annum for each individual.
The minister added that financing for the Berkat programme will be channelled through the Peer-to-Peer (P2P) platform CapBay.
CapBay is a platform regulated by the Securities Commission Malaysia.
