RM50m soft loan fund for Chinese SMEs to be established
Published on: Thursday, May 28, 2015
Kuala Lumpur: RM50 million soft loan fund will be launched next month to help Chinese small and medium entrepreneurs (SME) expand their business, says Minister in the Prime Minister's office Datuk Wee Ka Siong said Wednesday. He said the revolving fund will be managed by Koperasi Jayadiri Malaysia Bhd (Kojadi). "The fund is meant to help more Chinese SMEs get their businesses off the ground and running.
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"The fund is an addition to the wide-range of business financing available to SMEs including those from SME Corporation, SME Bank and commercial banks, Wee told a press conference after the opening of PrintPack Ship Sdn Bhd, an integrated shipping services company here Wednesday.He said the fund was necessary as start up companies, which are less than three years old, normally had problems in securing finance from banks and financial institutions as they lacked the track record required. "The new fund will give out soft loans between RM50,000 and RM250,000 at four per cent interest with a maximum payback period of five years.However, micro credit below this range will also be considered," Wee said.
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"Applicants would be assessed by a professional financial team, to be formed later, to check applicants' eligibility," he added.Stay up-to-date by following Daily Express’s Telegram channel.
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"SMEs will continue to be the government's focus as revealed in the Eleventh Malaysia Plan, considering their major contribution to the country's economy," he added. – Bernama
