AS of May 2025, a total of 40,529 micro, small and medium enterprises (MSMEs) in Malaysia have successfully obtained more than RM10 billion in business loan facilities through initiatives under Budget 2025.
According to Deputy Finance Minister II, Datuk Seri Amir Hamzah Azizan, the funds are part of a wider RM40 billion allocation aimed at strengthening access to financing and supporting enterprise development through various schemes.
“For the RM40 billion allocation, we utilise SJPP, we use all the grants we provide from KUSKOP and all other agencies. Therefore, the utilisation of this provision has been fairly good,” he said at the launch of the Budget 2025 Initiatives by SME Bank.
“Every year, we see SJPP and SJKP all progressing well,” he added.
The RM40 billion allocation under Budget 2025 includes loans, guarantees, stamp duty exemptions to lower financing costs, and matching grants to promote digitalisation and sustainable business practices.
These measures aim to enhance the competitiveness of MSMEs and ensure their continued relevance in a future economy driven by technology and sustainability.
The government is targeting an increase in the MSME contribution to 41 per cent of Gross Domestic Product (GDP), in line with the goals set out in the 12th Malaysia Plan.
In 2023, MSMEs contributed over RM613 billion to the GDP, representing 39.1 per cent of the national total. - June 26, 2025
