Measures to Address COVID-19 Impact by Bank Negara Malaysia (BNM)

Measures to Address COVID-19 Impact by Bank Negara Malaysia (BNM)

Bank Negara Malaysia has established additional or enhanced existing financing facilities to provide relief for, and to support the recovery of SMEs. Following the Budget 2022 announcement, the Bank is committed to further increase the allocation under the BNM’s Fund for SMEs by RM4.5 billion, bringing the total available funds as at mid-September 2021 to RM11.2 billion.

High Tech Facility – National Investment Aspirations (HTF-NIA)

The RM800 million Facility is aimed at supporting high-tech and innovation-driven SMEs affected by COVID-19 to recover and revitalise the nation’s innovation capacity. Financing rate of up to 3.5% per annum is offered for financing without guarantee or up to 5% per annum inclusive of guarantee fee (with guarantee coverage by Credit Guarantee Corporation Malaysia Berhad (CGC).

The Facility is available now until 30 June 2022 or full utilisation (whichever is earlier).

 

SME Automation and Digitalisation Facility (ADF)

The RM1 billion Facility is aimed at incentivising SMEs to automate processes and digitalise operations to improve productivity and efficiency. The financing rate is up to 4% per annum, inclusive of guarantee fee. Guarantee coverage is provided by Syarikat Jaminan Pembiayaan Perniagaan (SJPP).

The Facility will be available until 30 June 2022 or full utilisation, whichever is earlier.

 

Targeted Relief and Recovery Facility (TRRF)

The RM6 billion Facility is upsized by RM2 billion to RM8 billion for affected SMEs in the services sector. Under the enhanced TRRF, SMEs can now utilise up to 30% of the financing approved to repay existing business financing (i.e. refinance).

Offered at a rate of up to 3.5% p.a., TRRF will be available through participating financial institutions, with guarantee coverage by Credit Guarantee Corporation (CGC) or Syarikat Jaminan Pembiayaan Perniagaan (SJPP).

The Facility is available until 30 June 2022 or full utilisation (whichever is earlier).

 

Source: Bank Negara Malaysia