PUTRAJAYA: Micro, small and medium enterprises (MSMEs) have now become the main source of livelihood for more than eight million workers across the country, thereby strengthening their role as one of the main pillars of the Malaysian economy, said Steven Sim (pic).
The Entrepreneur Development and Cooperatives Minister said this figure is equivalent to almost half of the country's total workforce, encompassing workers in retail stores, restaurants, small factories, service companies, and family businesses that are the backbone of the local economy.
"Behind every grocery store, restaurant, small factory, service company and family business, there are millions of people who rely on MSMEs as their source of livelihood and foundation of life.
"Although the world today faces various challenges, including rising operational costs due to the global supply crisis and geopolitical uncertainties, the MSME sector remains the backbone of the people's economy," he said in a statement issued in conjunction with International MSME Day 2026 on Saturday (June 27).
Realising the importance of the role of MSMEs for the economy and people's well-being, Sim said the Madani Government remains committed to strengthening the support ecosystem for that sector by implementing 344 entrepreneurship and MSME development programmes last year, involving an allocation of RM31.63bil.
"As a result, 6,600 new entrepreneurs were successfully created, whereas 50,000 MSMEs showed improved business management, while 8,000 MSMEs successfully digitised their operations," he said.
He said that MSMEs receiving government assistance also recorded an increase in sales of RM870mil and export sales of RM6.8bil, demonstrating the effectiveness of the implemented interventions.
For this year, Sim said over 300 MSME development programmes have been planned with a total allocation exceeding RM60bil, covering financing, human capital development, market access, infrastructure, and the adoption of technology and innovation.
"These programmes are implemented in line with the ABCD framework of the ministry, which includes productivity shifts, simplified bureaucracy, capital access and market access," he said.
He added that the ministry's aspiration is not just to ensure that MSMEs continue to operate, but to elevate them to a higher level, from small enterprises to high-value companies, and from the local market to the international market. - Bernama
