Bank Ne​gara Malaysia Funded Schemes

The Bank Negara Malaysia Funded Schemes is part of the Government’s continuous effort to ensure eligible small and medium enterprises (SMEs) in all economic sectors have access to financing at reasonable​ co​st.

Eligibility

Malaysian SMEs that fulfil all of the following criteria:

  • Meets the definition of SMEs issued by SME Corporation Malaysia;
  • Registered with the Companies Commission of Malaysia (SSM), authorities/district offices in Sabah and Sarawak or statutory bodies for professional service providers;
  • Shareholding by Public Listed Companies and Government Linked Companies (if any) in the SMEs shall not exceed 20%;
  • Malaysians residing in Malaysia hold a minimum of 51% shareholding in the SMEs; and
  • Maximum shareholders’ funds not exceeding RM5 million

Financing should not be u​sed for refinancing of existing credit/financing facilities

1) BNM’s Fund For SMEs – All Economic Sectors Facility (AES)

Purpose of Financing:

  • Working capital; or/and
  • Capital expenditures (e.g. purchase of machinery and equipment or renovation cost for owner-occupied business premises)

Tenure:

  • Up to five (5) years

Amount of Financing:

  • Maximum RM5 million per SME

    Total Financing include financing:

    • approved under any of the facilities under the Fund, unless specified otherwise by BNM; and
    • to related companies of the SMEs that have common shareholder(s)

2) BNM’s Fund For SMEs – Agrofood Facility (AF)

The Facility is to increase agrofood production for Malaysia and for export purposes through the provision of financing at affordable rates. Agrofood activities eligible for financing under the Facility shall fulfil all of the following criteria:

  • Viable projects involving primary agrofood production (upstream), agrofood processing/manufacturing, or other agrofood downstream activities; and
  • Supportive of domestic primary agrofood production; and
    • For agrofood manufacturing, at least half of the key input is sourced domestically; or
    • For other agrofood related services, at least half of the activities are supportive of domestic agrofood production.
  • Domestic oriented, where at least half of the total production is sold in the domestic market.

Purpose of Financing:

  • Capital expenditures (e.g. purchase of machinery and equipment or renovation cost for owner-occupied business premises); or/and
  • Working capital; and
  • Development of agrofood projects. The land cost may be included in the computation of the total project cost provided that:
    • the amount does not exceed 30% of the total project cost; and
    • the land will only be used for primary agrofood production activities.​

Tenure:

  • Up to eight (8) years

Amount of Financing:

  • Maximum RM5 million per SME
  • Total Financing include financing:

    • approved under any of the facilities under the Fund, unless specified otherwise by BNM; and
    • to related companies of the SMEs that have common shareholder(s)

3) BNM’s Fund For SMEs – PENJANA Tourism Financing (PTF)

The facility is to support SMEs in the tourism sectors by preserving their capacity and assisting them to undertake the necessary investments to adjust and remain viable post-COVID 19.

Eligibility:

Malaysian SMEs in the core tourism and tourism-related sectors which are either

  • SMEs as defines by SME Corp Malaysia; or
  • Licensed by/registered with MOTAC

a) Core Tourism:

  • Tourism accommodation premises (e.g. budget hotels, registered homestays, chalet, and resorts)​
  • Travel agencies & tour operators
  • Transportation for tourists (e.g. bus, boat, and car rental operators)

b) Tourism-Related Sectors:

  • Medical tourism
  • MICE (Meetings, Incentives, Conference, Exhibitions) ecosystem
  • Money service businesses
  • Capacity building institutions which are primarily set up to provide tourism related courses/training, and licensed by or registered with MOTAC
  • Tourism related retail, recreation, and wellness that can justify significant reliance on tourists

Purpose of Financing:

  • Capital expenditures (e.g. purchase of machinery and equipment or renovation cost for owner-occupied business premises); or/and
  • Working capital; and
  • Refinancing of up to 50% of total financing approved from financial institutions and other sources including credit/leasing companies.

Tenure:

  • Up to seven (7) years with at least 6-months moratorium
  • Option to make interest/profit only payments for additional 12 months

Interest Rate:

  • Up to 3.5% per annum inclusive of guarantee fee (if any)

Amount of Financing:

  • Maximum RM500,000 per SME
  • Maximum RM75,000 per Micro Enterprise

4) BNM’s Fund for SMEs – Business Recapitalization Facility (BRF)

BRF aims to support SMEs to recover and grow, while managing their level of their indebtedness (i.e. to make improvements in their capital structure, particularly those that wish to undertake capital expenditure, facilitating a more manageable debt-to-equity structure after tapping the BRF) through innovative financing solutions.

Purpose of Financing:

  • Working capital; or/and
  • Capital expenditures (including purchase of non-residential building for business use)

Facility Type:

  • A mix of debt financing from the Bank and equity financing through third party equity financiers (blended finance)

Tenure:

  • Up to ten (10) years

Interest Rate:

  • Up to 5% per annum inclusive of guarantee fee
  • Up to 3.5% per annum without guarantee fee

Amount of Financing:

  • Maximum RM5 million per SME

5) BNM’s Fund for SMEs – Low Carbon Transition Facility (LCTF)

The LCTF scheme aims to encourage and support SMEs to transition to low carbon operations by adopting sustainability practices for business resilience

Purpose of Financing:

  • Working capital and/or Capital expenditures to initiate or facilitate the transition to low carbon and sustainable operation.

Tenure:

  • Up to ten (10) years

Interest Rate:

  • Up to 5% per annum inclusive of guarantee fee (if any)

Amount of Financing:

  • Maximum RM10 million per SME, inclusive of financing to related companies of the SMEs that have common shareholder(s)

6) BNM’s Fund for SMEs – Disaster Relief Facility (DRF)

The DRF fund aims to alleviate the financial burden of SMEs affected by floods and enable them to resume their business operations

Eligibility:

Microenterprises and SMEs (at least 51% shares held by Malaysians) affected by floods located in districts identified by Agensi Pengurusan Bencana Negara as flood disaster areas

Purpose of Financing:

  • Working Capital; and/or
  • Repairs and/or replacement of assets for business use which have been damaged by floods

Tenure:

  • Up to seven (7) years including 6-months moratorium

Facility Type:

  • Term Loan

Interest Rate:

  • Up to 3.5% per annum inclusive of guarantee fee (if any)

Amount of Financing:

  • Maximum RM700,000 per SME
  • Maximum RM150,000 per Micro Enterprise

7) BNM’s Fund For SMEs – Automation & Digitalisation Facility (ADF)

The objective of this Facility is to incentivise SMEs to automate processes and digitalise operations to increase productivity and efficiency.

Purpose of Financing:

  • Purchase of equipment, machinery, computer hardware and software, IT solutions and services, technology support services and other intangible assets to enhance productivity and efficiency

Tenure:

  • Up to Ten (10) years

Facility Type:

  • Term Loan

Interest Rate:

  • Up to 4% per annum inclusive of guarantee fee (if any)

Amount of Financing:

  • Maximum RM3 million per SME, inclusive of financing to related companies of the SMEs that have common shareholder(s)

8) BNM’s Fund for SMEs – HIGH TECH & GREEN FACILITY (HTG)

The HTG (formerly known as High Tech Facility – National Investment Aspirations (HTF-NIA)) fund aims to help SMEs and innovative start-ups to grow their businesses and invest in strategic sectors and technologies fields (digital tech, green tech, and biotech) for a sustainable and entrenched economic recovery.

Eligibility:

Open to viable Malaysian SMEs (with at least 51% shares held by Malaysians and defined as SME by SME Corp):

a) Within manufacturing and services subsectors:

  • Electrical and Electronics (E&E)
  • Chemicals
  • Refined petroleum
  • Machinery & Equipment (M&E)
  • Medical Devices and Pharmaceuticals
  • Automotive and Transport Equipment (including aerospace; vehicle and parts manufacturers)
  • Information and Communications Technology (ICT)
  • R&D services
  • Any other high-tech industries/ sub-sectors deemed eligible by BNM

b) Businesses (including commercially ready start-ups) involved in providing technology solutions

  • Green Technology
  • Digital and 4IR Technology
  • Biotechnology

c) SMEs and start-ups involved in the Government Programs listed in https://www.bnm.gov.my/covid19​

Note: Recipients Special Relief Facility (SRF), PENJANA SME Financing (PSF), Targeted Relief and Recovery Facility (TRRF), and/or PENJANA Tourism Financing (PTF) are eligible for the HTG, for the purpose of financing capital expenditure only.

Purpose of Financing:

  • Working Capital; and/or
  • Capital expenditures (including purchase of non-residential building for business use)

Tenure:

  • Up to ten (10) years

Interest Rate:

  • Up to 3.5% per annum without guarantee
  • Up to 5% per annum inclusive of guarantee fee (if any)

Amount of Financing:

  • Maximum RM10 million

This scheme is available until 31 December 2023 or full utilization (whichever earlier).

9) BNM’s Fund for SMEs – Targeted Relief and Recovery Facility (TRRF)

The TRRF fund aims to provide relief and support recovery for SMEs in the services sector affected by reintroduction of containment measures.

Eligibility:

Malaysian SMEs (with at least 51% shares held by Malaysians and defined as SME by SME Corp) in services sector affected by reintroduction of COVID-19 containment measures since June 2020 (except for tourism and tourism-related subsectors) such as:

  • Personal services (e.g. repair of computers / household goods, laundry, hairdressing, beauty);
  • Food and Beverage service activities;
  • Human Health and Social Work activities;
  • Arts, Entertainment and Recreation;
  • Wholesale and Retail Trade; and
  • Business services (e.g. Professional, Scientific and Technical Activities; Administrative and Support Service Activities)

Purpose of Financing:

  • Working Capital; and/or
  • Refinancing of up to 30% of total financing approved (only for existing businesses financing excludes financing obtained under BNM’s Fund for SMEs)

Facility Type:

  • Term Loan

Tenure:

  • Up to seven (7) years with at least 6-months moratorium

Interest Rate:

  • 3.50% inclusive of guarantee fee (if any)

Amount of Financing:

  • Maximum RM500,000 per SME
  • Maximum RM75,000 per Micro Enterprise

All BNM schemes are available until full utilisation. For more information, please email businessbanking@ambankgroup.com

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