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Applications for RM48.52 million micro financing programme now open to small business owners

CompareHero.my Team

CompareHero.my Team

Last updated 23 March, 2022

As of 21 March, applications for the “Micro Financing Programme for Hawkers and Small Traders” are now open, says Entrepreneur and Cooperative Development Minister Tan Sri Noh Omar, adding that a grand sum of RM48.52 million has been allocated to the financing scheme.

He stated that those who are interested may apply at Bank Rakyat. He also said that the conditions for approval have been relaxed as the processes involving credit reporting agency CTOS and the Central Credit Reference Information System (CCRIS) have been set aside in order to help the parties involved sustain their businesses.

"This form of financing has no interest and comes with a one-year moratorium, with informal business owners allowed to borrow RM10,000, while for micro-businesses, it is up to RM50,000.”

"Applications will also be approved in a short period of time, and if possible, we will set the processing period to within a week," he told reporters.

On Dec 3 2021, Prime Minister Datuk Seri Ismail Sabri Yaakob announced an allocation of RM48.52 million for the financing programme as a sign of the government’s continuous efforts to protect the welfare of hawkers and small business owners. He also stated that the financing plan can help revive small business and that the funds applied can be used for working capital, purchase of equipment and hardware, making payments for salaries, and more.

Further, Noah said that through TEKUN Nasional, his ministry had channeled grants worth RM10.2 million in Pahang to 3,400 informal and micro business owners affected by the floods, with each of them receiving a one-off grant of RM3,000.

In total, RM50 million has been allocated for the assistance with 16,058 applications received and 9,688 applications approved so far. 

Source: Bernama

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