RM5 Billion to Help SMEs Face External Challenges

KUALA LUMPUR: While Malaysia’s economy as a whole is seen as resilient in facing external challenges, Bank Negara Malaysia (BNM) continues to strengthen the small and medium enterprise (SME) sector in facing global uncertainties.

Bank Negara Malaysia (BNM) Governor, Datuk Seri Abdul Rasheed Ghaffour said, through the SME Stabilisation Relief Facility (SME SRF), financing totalling RM5 billion is provided for viable SMEs to utilise.

He explained, this is to help SMEs, including micro-enterprises facing operational disruptions, cash flow challenges and difficulties in meeting short-term financial obligations following the conflict in West Asia.

“As of August 7, financing amounting to RM2.8 billion has been approved, benefiting more than 4,900 SME accounts.

“This facility remains available until December 31, 2026, or until the allocation is exhausted,” he said in a press conference on Malaysia’s economic performance for the second quarter of 2026 at Sasana Kijang, here today.

In the second quarter, Malaysia’s economy grew by six percent, driven by sustained domestic demand as well as robust exports.

The SME SRF provides financing of up to RM750,000 for a period of up to five years, at a financing rate of up to 3.75 percent per annum.

Abdul Rasheed added, although the immediate focus is on short-term stability, they are not neglecting the importance of long-term resilience.

To that end, financing guarantees totalling RM10 billion are provided under the BNM-CGC Guarantee Scheme, which enables sustainable financing through risk-sharing arrangements to unlock productivity, innovation and structural transformation of SMEs.

For the second quarter of 2026, financing conditions for SMEs remain healthy, with SME financing balances increasing by 4.2 percent.

Kosmo Online