KUALA LUMPUR: SME Corporation Malaysia and Malaysian Industrial Development Finance Bhd (MIDF) have launched the SME Revitalisation Financing (SMERF) scheme for small businesses severely impacted by the pandemic.
In a joint statement on Monday, they said the scheme targets SMEs facing financial difficulties and underserved sectors hit by the Covid-19 restrictions.
This new financing scheme aims to enable SMEs to manage their cashflow better during these trying times and ensure continuity of their businesses.
SMERF is a financing scheme under the Strategic Programme to Empower the People and Economy (Pemerkasa) and it is channelled through SME Corporation Malaysia and implemented by MIDF.
SMERF will help SMEs strengthen the marketability of their products, business sustainability as well as adopting technology and modernisation.
SMERF offers financing amount up to RM250,000 or up to 90% of total costs of eligible items with an interest rate as low as 3%.
SME Corp CEO Rizal Nainy said SMERF will give a breathing space to SMEs including microenterprises due to economic headwinds.
“The financing will ease cashflow blockage faced by viable SMEs in revitalising & achieving business goals, strengthening core business and building capacity & capability,” he said.
Head of MIDF’s development finance division Azizi Mustafa said MIDF fully supports the government’s initiative to provide as much assistance as possible to those affected during these trying times.
He said the Ministry of Entrepreneur Development and Cooperatives and SME Corp. Malaysia have been very supportive in providing the funding for SMERF.
The applications for SMERF will be opened to the SMEs starting Monday, July 26.
For details on the new financing scheme or about the reduction in financing rates, the public may contact MIDF through its business advisory unit at 1-300-88-6433 or email [email protected]