Malaysia

Govt to raise Bumiputera and minority SME financing to RM600 million by 2026 - Steven Sim

The government will significantly expand financing for Bumiputera, Indian and Chinese micro, small and medium enterprises by 2026

Updated 10 months ago · Published on 19 Dec 2025 9:59AM

Govt to raise Bumiputera and minority SME financing to RM600 million by 2026 - Steven Sim
Putrajaya to offer a six-month, interest-free loan moratorium to businesses and co-ops affected by floods, as part of a broader push to strengthen people-centred economic growth - December 19, 2025

THE government will increase Bumiputera financing under Tabung Ekonomi Kumpulan Usaha Niaga Nasional from RM300 million this year to RM500 million in 2026, as part of a wider strategy to empower micro, small and medium enterprises and strengthen the cooperative movement in an inclusive, multiracial manner.

Minister of Entrepreneur Development and Cooperatives Steven Sim said the move was aligned with national policies aimed at boosting grassroots economic participation across communities.

“Financing for Indian entrepreneurs under the Indian Community Entrepreneur Financing Scheme will also be increased from RM30 million to RM50 million in 2026,” he said.

“In addition, a new RM50 million financing scheme for Chinese community micro, small and medium enterprises will be launched in January 2026.”

Steven said this at a press conference after a briefing session with senior management of the Ministry of Entrepreneur Development and Cooperatives, held on Thursday, marking his first day in office as minister.

He also announced that a six-month, interest-free moratorium on loan repayments would be granted to SMEs and cooperatives affected by floods, involving financing from seven agencies under the ministry.

The agencies are the Malaysia Cooperative Commission, SME Corp Malaysia, TEKUN Nasional, Bank Rakyat, SME Bank, Perbadanan Nasional Berhad and Amanah Ikhtiar Malaysia.

Earlier, Steven arrived at the ministry building at about 9.10am, where he was received by Deputy Minister of Entrepreneur Development and Cooperatives Datuk Mohamad Alamin and the ministry’s secretary-general Datuk Seri Khairul Dzaimee Daud.

Steven said the ministry had received a specific mandate from Prime Minister Datuk Seri Anwar Ibrahim to ensure people-based economic growth through the empowerment of SMEs and the cooperative movement.

In this regard, he outlined the ministry’s key strategic focus based on the ABCD framework, namely productivity shift, streamlined bureaucracy, access to capital and enhanced market access. - December 19, 2025

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