Selangor Journal
The Finance Ministry complex in Putrajaya. — Picture by BERNAMA

Govt to empower small businesses to achieve entrepreneurial nation target

SIBU, May 21 — The government, via Budget 2024, will continue focusing on empowering micro, small and medium enterprises (MSMEs) to achieve the National Entrepreneurship Policy 2030 objective to make Malaysia an entrepreneurial nation.

Recognising challenges faced by MSMEs amid ever-changing economic conditions and various external factors, the government offers financing programmes to facilitate business and improve the business environment.

“This business financing programme is implemented through development financial institutions or other government-owned financial institutions to meet the needs or requests of different MSME customers, and it is open to all eligible MSMEs nationwide,” said Finance Ministry Strategic Investment Division deputy secretary Mohd Saiful Sungkih.

Speaking at the Sarawak MSME Initiative Roadshow here today, he said the government has implemented a subsidised financing programme for focus sectors by subsidising the interest rate of 1.5 per cent per year.

He said this would reduce the cost of borrowing on loans granted by financial institutions.

Saiful said besides subsidised financing, the government has implemented the Business Financing Guarantee Scheme, which makes the government the guarantor on loans granted by financial institutions to entrepreneurs.

He said the scheme aims to address problems faced by MSMEs that lack collateral to obtain credit facilities.

He said that through the roadshow, the implementing agency of the financing initiative delivered a briefing on the types of financing products offered, provided consultation to entrepreneurs on methods to obtain business financing, and highlighted the MSME networking platform.

The Kuching leg of the programme was held on May 11, with the next leg in Bintulu on Thursday and in Miri on May 27.

— Bernama

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