SME Bank is offering several initiatives in line with the government’s economic stimulus packages to help SMEs weather the Covid-19 pandemic. This includes financing aid up to RM 2.1 billion for the SME Go scheme and SME Technology Transformation Fund (STTF) under the Penjana economic recovery plan. This financing aid will be available from next month onwards.
SME Go scheme by SME Bank to support G2 and G3 contractors
According to SME Bank group president and chief executive officer, Aria Putera Ismail. the SME Go scheme would be provided for G2 and G3 contractors who were awarded small government projects under the economic stimulus package. The total fund allocates for this is RM 1.6 billion.
“SME Bank will pay directly to the sub-contractors and suppliers based on the presentation of verified invoices and claims. No deposit and upfront collateral will be required. Moreover, under SME Go scheme, the financing limit offered is up to 100% of the contract cost.
RM 500 million for SME Technology Transformation Fund (STTF)
This RM 500 million fund is allocated to assist entrepreneurs to swiftly adopt digital technology and automation to penetrate new markets. Under this scheme, SME can get financing limit up to a maximum of RM 3 million and it will be disbursed directly to the supplier or vendor upon verification of invoices submitted to the bank.
The financing would be for the purchase of equipment, machinery, computer hardware and software, IT solutions and services, technology support services and other intangible assets to enhance productivity, efficiency and greater market penetration.
“The asset to be financed under STTF shall be the collateral for the financing. The bank can obtain the guarantee schemes from Credit Guarantee Corporation Malaysia Bhd or Syarikat Jaminan Pembiayaan Perniagaan.
Aria Putera further said SME Bank would always support the government’s efforts to help local businesses resolve their financial burden by providing assistance to them and their customers. For a record, SME Bank had assisted more than 18,361 SMEs since its inception in 2005, with financing of RM 33.36 billion.
Eligible SMEs can apply directly to SME Bank at its head office or any branch nationwide for the financing facilities. For more information regarding the financing aid you can either go to SME Go scheme or STTF financing aid