KUALA LUMPUR: A total of 85,000 micro-entrepreneurs will be assisted this year to restore business capacity affected by the Covid-19 pandemic and the recent floods, says Bank Simpanan Nasional (BSN) chief business officer Mujibburrahman Abd Rashid.
From the figure, 25,000 entrepreneurs are expected to be assisted through the Semarak Niaga Keluarga Malaysia Scheme (SemarakNiaga), while another 60,000 entrepreneurs will be receiving benefits through digital matching grants.
“We have seen micro-enterprises as one of the earliest sectors to recover after all economic sectors were reopened and interstate travel restrictions were lifted.
“I believe that more micro-entrepreneurs need help to boost their business back to pre-pandemic levels or better than ever before,” he told Bernama recently.
Last year, BSN assisted 88,000 micro-entrepreneurs through a combination of previous financing schemes namely Prihatin, Penjana and Pemerkasa, as well as digital matching grants.
Regarding SemarakNiaga, Mujibburrahman said applications could be made from this month with the eligibility criteria being that the applicant is a micro-entrepreneur, whether sole proprietorship, partnership, or Sdn Bhd owned by a Malaysian citizen.The company must also be registered with the Companies Commission of Malaysia or local authorities and have been in operation for not less than six months.
“As an institution mandated by the Ministry of Finance to assist the country’s micro- entrepreneur sector, BSN offers this financing at a rate of 3.5%, much more competitive compared to other financial institutions which on average offer double-digit interest rates.
“Besides that, BSN also reduces the need for documentation to facilitate applicants. I am confident that SemarakNiaga will receive a very encouraging response,” he said.
The SemarakNiaga programme, which involves a financing package with a total value of RM40bil, was announced by Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz when presenting Budget 2022 in Parliament on Oct 29, 2021.
Under SemarakNiaga, micro-credit financing worth almost RM1.8bil will be provided through various agencies such as BSN, Tekun, Agrobank, Bank Rakyat and Bank Negara Malaysia.