GEORGE TOWN: A total of 6,580 micro, small, and medium enterprises (MSMEs) have successfully scaled up their businesses to date, showing that government intervention is starting to have a tangible impact on entrepreneurs, says Steven Sim.
The Entrepreneur Development and Cooperatives Minister said the achievement is among the indicators of the effectiveness of efforts by his ministry in helping MSMEs improve their competitiveness and expand their businesses.
“Of the total, 3,827 businesses have moved from the informal sector into the micro category, while 2,235 micro businesses have progressed to the small category, and 518 small companies have advanced to the medium category,” he said.
Sim said the ministry is targeting to have at least 10,000 MSMEs scale up their businesses this year, and the plan is expected to receive a boost from an additional RM1bil in microcredit financing as announced by the Prime Minister recently.
He also said the ministry is targeting the disbursement of RM15bil in financing to entrepreneurs throughout this year, with nearly RM9bil having been channelled as of July to about 250,000 entrepreneurs nationwide.
Of this, RM3.4bil represents new financing for about 34,000 entrepreneurs who are getting access to financing for the first time, he added.
In Penang, RM737mil had been disbursed to nearly 6,000 entrepreneurs during the same period.
“The financing is not solely intended to help entrepreneurs obtain capital, but also enables them to make basic improvements to enhance efficiency, productivity, and market reach.”
Sim said the digital transformation of MSMEs would not necessarily require major investments in technology; it can begin with the adoption of digital payment systems, e-wallets, QR codes, financial management, and inventory systems.
