SC Welcomes Budget 2024 Measures to Support Startups, Sustainable Investmentby Fintech News Malaysia October 16, 2023 0 comments
The Securities Commission Malaysia (SC) has welcomed the measures announced in Budget 2024.
This includes the allocation of RM100 million to the Malaysia Co-Investment Fund’s (MyCIF) initiatives over the next three years and tax incentives for the equity crowdfunding (ECF) market.
MyCIF is a public-private co-investment vehicle administered by the Securities Commission Malaysia on behalf of the Ministry of Finance (MOF).
The SC said that the additional funding will enable MyCIF to invest in more promising startups and small businesses.
This is in line with the government’s commitment to fostering economic growth and encouraging sustainable and responsible investments in Malaysia.
In 2022, MyCIF co-invested RM638 million in 3,635 equity crowdfunding (ECF) and peer-to-peer (P2P) campaigns, benefiting some 3,635 Malaysian micro, small and medium enterprises (MSMEs).
SC Chairman Dato’ Seri Dr. Awang Adek Hussin added,
“In balancing the need to broaden the tax base, as well as supporting the fundraising needs for corporations of all sizes, we are grateful that the government has considered targeted exemptions on Capital Gains Tax (CGT) impositions on activities relating to approved IPOs and venture capital. This would ensure continued fundraising activities in the capital market.”