Bank Negara Malaysia (BNM) wishes to provide further information on the implementation of two funds, as announced in the Budget 2021 speech by the Minister of Finance.
- Targeted Relief and Recovery Facility (TRRF)
The RM2 billion facility is aimed at assisting eligible SMEs in the services sector. Eligible SMEs can obtain financing for working capital purposes of up to RM500,000 for a tenure of up to 7 years, including a repayment moratorium of at least 6 months. The facility is offered at a rate of up to 3.5% per annum and is available through 21 participating financial institutions (PFIs), with guarantee coverage by Credit Guarantee Corporation (CGC) or Syarikat Jaminan Pembiayaan Perniagaan (SJPP). The facility is now available until 31 December 2021 or full utilisation (whichever is earlier).
SMEs that are recipients of the Special Relief Facility (SRF), PENJANA Tourism Financing (PTF) and PENJANA SME Financing (PSF) are not eligible to apply for TRRF. For SMEs in the tourism and tourism-related services subsectors, assistance remains available under the existing PTF.
- Micro Enterprises Facility (MEF)
The total size of the facility has been increased from RM300 million to RM410 million, with an available balance of RM200 million. The MEF has been enhanced to improve access to credit for micro enterprises, to include self-employed individuals, gig workers on digital platforms and participants of the iTEKAD programme. Eligible micro enterprises can obtain financing for working capital and capital expenditure purposes of up to RM50,000. The financing rate will be determined by the PFIs. PFIs can also seek guarantee coverage from CGC or SJPP for this facility.
Interested SMEs can apply directly to the PFIs for the TRRF, which comprise commercial banks, Islamic banks and development financial institutions regulated by BNM via their websites or by visiting the PFIs’ branches. For the MEF, interested micro enterprises can apply directly to the PFIs under the Skim Pembiayaan Mikro.
Details of the High Tech Facility (HTF) will be announced on 15 December 2020.
Members of the public can contact BNMTELELINK for further information and advice on issues that they might face with their banks in this challenging time at firstname.lastname@example.org or 1-300-88-5465.
Further details on the features of the above-mentioned facilities are outlined in Appendix 1, 2 & 3 and also available online at www.bnm.gov.my/covid19/.
 iTEKAD, launched in May 2020, is a social finance programme that provides (i) structured training and mentorship on entrepreneurship and financial management; (ii) funding for purchase of assets (from zakat, cash waqf and donation); and/or (iii) microfinancing. The programme seeks to support micro entrepreneurs from the B40 segment to generate more sustainable income and contribute back to the community.
© Bank Negara Malaysia, 2020. All rights reserved.