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​ cost.

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 used 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 – 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

This scheme is available from 3 Feb 2022 until fully utilised. For more information please email businessbanking@ambankgroup.com

4) 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)

This scheme is available from 3 Feb 2022 until fully utilised. For more information please email businessbanking@ambankgroup.com

5) 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

This scheme is available from 27 December 2021 until full utilisation or subject to further decision by BNM. For more information, please email businessbanking@ambankgroup.com

6) 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)

This scheme is available up until 30 June 2022 or full utilisation (whichever is earlier). For more information, please emailbusinessbanking@ambankgroup.com

7) BNM’s Fund for SMEs – HIGH TECH FACILITY - National Investment Aspirations (HTF-NIA)

The HTF-NIA fund aims to support affected high tech and innovation-driven SME that are best aligned to strategic long-term development goals embedded in the National Investment Aspirations (NIAs). This is critical to strengthen Malaysia’s competitive positioning in the global value chains, preserve the supply chain ecosystem and safeguard high-skilled jobs

Eligibility:

Open to viable Malaysian SMEs (with at least 51% shares held by Malaysians and defined as SME by SME Corp) affected by COVID-19 and:
a) Within manufacturing and services subsectors with high National Investment Aspirations (NIAs) scores:

  • Electrical and Electronics (E&E)
  • Chemicals (including pharmaceuticals)
  • Optical Scientific Equipment and Medical Equipment
  • Machinery & Equipment (including Robotics, Drones, and Industry 4.0-related technologies)
  • Transport equipment (Aerospace; motor vehicles and parts manufacturers involved in global supply chains or transitioning towards future mobility and green technology)
  • Information and Communications Technology (ICT)
  • R&D services
  • Any other high-tech industries/ sub-sectors deemed eligible by BNM

b) Participants of existing innovation projects by the Government for a range of critical technologies that are identified in national development plans such as industry 4.0 technologies, digital economy and green technology

Purpose of Financing:

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

Tenure:

  • Up to seven (7) years

Interest Rate:

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

Amount of Financing:

  • Maximum RM1million for working capital; and/or
  • Maximum RM5million for CAPEX or a combination of working capital and capital expenditure

This scheme is available up until 30 June 2022 or full utilisation (whichever is earlier). For more information, please email businessbanking@ambankgroup.com

8) 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

This scheme is available up until 30 June 2022 or full utilisation (whichever is earlier). For more information, please email businessbanking@ambankgroup.com

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