Mudra allocation raised to RM220mil on strong demand


PUTRAJAYA: The Indian Entre­preneur Capital and Economic Stimulus Package (Mudra) has received a significant boost this year, with an allocation excee­ding RM220mil.

Entrepreneur Development and Coope­ra­tives Minister Steven Sim (pic) said this marks a RM60mil ­inc­rea­­se, driven by a strong response to the ministry’s financing schemes.

He said the package is aimed at strengthening the ecosystem of Micro, Small and Medium Enter­prises (MSMEs) as well as coope­ratives owned by the Indian community in the country.

“The allocation exceeding RM220mil this year represents an increase of RM60mil compared with approximately RM160mil channelled in 2025,” he said yesterday, Bernama reported.

Sim said Mudra would be imp­le­mented through five agencies under the ministry, namely Tekun Nasional, Bank Rakyat, SME Bank, Amanah Ikhtiar Malay­sia (AIM) and the Malaysian Cooperative Commission (SKM).

He said Tekun Nasional will provide RM120mil through the Indian Community Entrepreneur Development Scheme, followed by SME Bank with RM50mil via the Vanigham Fin­an­cing Scheme, while Bank Rakyat has allocated RM15mil for the Bank Rakyat Indian Entrepreneur Financing-i.

“AIM is providing RM27mil through the Indian Women Entre­preneur Empowerment Prog­ram­me Fund, while SKM is allocating RM11mil, comprising RM1mil under Bakti Madani and RM10mil for the SKM Revolving Capital Fund,” he said.

Sim said Mudra is not merely short-term financial assistance but a strategic measure to ­enhan­ce the competitiveness of Indian community MSMEs in ensuring business sustainability amid glo­bal energy uncertainties.

He said as of March 31, the implementation of the initiative had shown very encouraging performance, with RM33.48mil app­ro­ved, directly benefiting 1,805 Indian community entrepreneurs nationwide.

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