Bank Negara Malaysia (BNM) is backing a new RM10 billion guarantee scheme aimed at helping more SMEs secure financing.
Developed with Credit Guarantee Corporation Malaysia (CGC), it targets microenterprises, startups and firms investing in sustainability, innovation, strategic sectors, food security and external resilience.
Governor Abdul Rasheed Ghaffour announced the BNM-CGC Guarantee Scheme at the 31st CGC Awards.
It is intended to support viable businesses that may fall short under conventional credit assessments.
This includes younger firms with limited credit histories and asset-light companies with little collateral.
The guarantees will allow financial institutions to share risk while maintaining existing credit standards and underwriting responsibilities.
CGC has facilitated more than RM103 billion in guarantees and financing for over 544,000 SMEs since its establishment.
BNM is also working with CGC and Syarikat Jaminan Pembiayaan Perniagaan (SJPP) to strengthen Malaysia’s broader credit guarantee framework.
The World Bank is providing technical support on coordination targeting and data use.
Abdul Rasheed also urged lenders to consider information such as cash flows, transaction records, electronic invoices, payment behaviour and supply chain data when assessing SMEs.
Featured image: Edited by Fintech News Malaysia, based on image by zendaIA via Magnific
