PETALING JAYA: Prime Minister Datuk Seri Anwar Ibrahim announced a series of immediate measures as part of efforts to ease cost pressures on small and medium enterprises (SMEs).
This includes a RM5bil financing guarantee under Syarikat Jaminan Pembiayaan Perniagaan (SJPP), a 12-month extension for e-invoicing transition and interim tax relief on re-imported Malaysian goods affected by global disruptions.
Under the SJPP, he said the Federal Government will provide RM5bil in guarantees to support affected SMEs, particularly in construction, agriculture and agri-food, logistics and transportation, as well as tourism.
Anwar said the enhanced scheme would offer improved terms, with financing coverage of up to 80% compared with the usual 70%, and guarantee periods extended to up to 10 years from the standard seven.
"SJPP will also work closely with banks to facilitate loan restructuring and rescheduling, as well as provide targeted repayment assistance," he said.
He said SJPP remains one of the government's key instruments in supporting SME resilience, with more than 50,000 businesses assisted through financing guarantees exceeding RM50bil between 2023 and 2025.
On tax administration, Anwar announced an additional 12-month transition period for Phase 4 of e-invoicing implementation, now extended until Dec 31, 2027, for businesses with annual turnover between RM1mil and RM5mil.
He said these businesses would be allowed to issue consolidated e-invoices and would not face penalties during the transition period.
To address disruptions linked to global conflicts, he said the government will also consider interim exemptions on import duty and sales tax for the re-importation of Malaysian-made goods that could not complete the export process.
"This measure will apply until Dec 31, while the government continues to assess the need to facilitate tax treatment for businesses affected by the West Asian conflict," he said.
Anwar, who is also Finance Minister, said the measures were formulated following direct engagement sessions with SMEs to better understand challenges on the ground.
He noted rising operational costs are driven by the global energy crisis and supply chain disruptions.
"Amid intensifying global pressures, the Madani government is acting without delay, guided by direct feedback from industry players to ensure that every measure truly reaches those in need," he said.
He added that the government had been consistently engaging different segments of the SME community, including Bumiputera, Chinese and Indian businesses, to ensure no group is left behind.
Anwar said spillover effects from the West Asian conflict are increasingly impacting the global economy through energy supply disruptions and higher logistics and insurance costs.
He said these factors lead to sustained pressure on input prices faced by traders, manufacturers and farmers.
"Facing prolonged global headwinds, the government will continue to act proactively to ensure the business ecosystem remains resilient and adaptable.
"We will strengthen collaboration with financial institutions, industry players and entrepreneurs so that the measures introduced help sustain business operations and protect jobs," he said.
The Prime Minister said this is not a temporary situation and the nation must be prepared for gradual and prolonged changes.
He stressed that, in line with the Madani Economy framework, the government remains committed to strengthening national economic resilience while ensuring targeted assistance reaches those most in need.
