Malaysia has increased the microfinancing available to small businesses by RM1 billion, bringing the total for 2026 to RM6 billion.
The Ministry of Entrepreneur Development and Cooperatives (KUSKOP) plans to accelerate access to the additional financing through Bank Rakyat, Amanah Ikhtiar Malaysia and TEKUN Nasional, Bernama reported.
Minister Steven Sim described the requirements and application processes offered by microcredit providers as generally better suited to micro and small businesses.
Prime Minister and Finance Minister Anwar Ibrahim announced the funding increase on 30 August as part of a wider package aimed at helping businesses manage rising costs.
Another measure raised the annual sales threshold for exemption from mandatory e-invoicing from RM1 million to RM3 million.
Businesses with yearly sales of no more than RM3 million are therefore exempt from the requirement.
Citing Finance Ministry data, Sim estimated that the revised threshold would cover more than one million MSMEs.
Anwar indicated that the measures would take effect on 1 September 2026.
Featured image: Edited by Fintech News Malaysia, based on image by Frolopiaton Palm via Magnific
