Initiatives hoped to lessen SMEs burden

KUCHING: The initiatives introduced by the federal government under the Pemerkasa Plus package is hoped to alleviate the burden of small and medium-sized enterprises (SMEs) following the implementation of the movement control order (MCO).

Entrepreneur Development and Cooperatives Minister Datuk Seri Wan Junaidi Tuanku Jaafar said the initiatives reflected the concern of the government for the continuity of SMEs business.

“Under the Pemerkasa Plus initiative, a total of RM1.5 billion is provided for consumers seeking micro credit financing as working capital.

“This can be applied under the agencies of Entrepreneur Development and Cooperatives Ministry (Medac) – SME Corp and Tekun, with a financing rate as low as three percent,” he said in a Facebook today (June 5).

Wan Junaidi said the government also provided a total of RM7 billion in loan funds with a loan rate of 3.5 percent, made available to SMEs through various soft loan facilities under Bank Negara Malaysia to assist the company’s cash flow.

“Apart from that, almost one million SMEs and micro companies will benefit through the Prihatin Special Grant (GKP) of RM1,500 which will be distributed starting this June.

“I hope, these initiatives, to some extent can ease the burden of SMEs and help for the continuity of their business.

“For more information on the loan facilities available, please contact a Medac agency representative,” he said.

Recently, Prime Minister Tan Sri Muhyiddin Yassin announced the Pemerkasa Plus package in view of the MCO.

Among the initiatives introduced were raising the Special Prihatin Grant for SMEs and micro-enterprises to RM1,500, with almost one million eligible enterprises to receive RM1,000 in mid-June and a further RM500 in July.

At the same time, a total of RM1.5 billion in micro-credit facilities were made available to small businesses, street vendors and micro-enterprises at three percent interest rate.