Measures to Address COVID-19 Impact

Recognising the environment that remains challenging for some borrowers, Bank Negara Malaysia and the Malaysian financial industry are committed to assist individuals and viable businesses adversely affected by the COVID-19 pandemic, to support economic recovery and safeguard the livelihood of Malaysians.

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1. BNM's Fund for SMEs

Bank Negara Malaysia has established additional or enhanced existing financing facilities to provide relief for, and to support the recovery of SMEs.
Select a fund according to your business needs.


Targeted Relief and Recovery Facility (TRRF)

The RM4 billion facility will be upsized by RM2 billion to RM6 billion for affected SMEs in the services sector. Offered at a rate of up to 3.5%, TRRF will be available through participating financial institutions, 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).

High Tech Facility – National Investment Aspirations (HTF-NIA)

The RM1 billion facility is aimed at supporting high-tech and innovation-driven SMEs affected by COVID-19 to recover and revitalise the nation’s innovation capacity. Financing rate of up to 3.5% per annum is offered for financing without guarantee or up to 5% per annum inclusive of guarantee fee (with guarantee coverage by Credit Guarantee Corporation Malaysia Berhad (CGC).

The facility is available now until 31 December 2021 or full utilisation (whichever is earlier).

SME Automation and Digitalisation Facility (ADF)

The RM1 billion facility is aimed at incentivising SMEs to automate processes and digitalise operations to improve productivity and efficiency. The financing rate is up to 4% per annum, inclusive of guarantee fee. Guarantee coverage is provided by Syarikat Jaminan Pembiayaan Perniagaan (SJPP).

The facility will be available until 31 December 2021 or full utilisation, whichever is earlier.

Micro Enterprises Facility (MEF)

This facility will be increased from RM300 million to RM410 million to support microenterprises including gig workers on digital platforms and the self-employed. The facility is for working capital and capital expenditure.

All Economic Sectors (AES) Facility

This facility is to enhance access to financing for SMEs and to support growth.

Agrofood Facility (AF)

The Facility is to increase food production for Malaysia and for export purposes.

Disaster Relief Facility 2021

The Facility is to alleviate the financial burden and assist in the resumption of business operations of SMEs affected by the recent floods in districts identified by Agensi Pengurusan Bencana Negara as flood disaster areas.

PENJANA Tourism Fund

PENJANA Tourism Fund created for affected businesses in the tourism sector

The Government has created a dedicated fund for businesses in the tourism sector still affected by the pandemic under the PENJANA initiative. Applications for the fund is now open.

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2. Loan Repayment Assistance

Banks are committed and ready to help individuals and SMEs, including microenterprises affected during the Movement Control Order with the latest Repayment Assistance packages.

To obtain this Repayment Assistance, borrowers can contact their respective banks and select their preferred loan repayment options.

Details are available on the Loan Repayment Assistance page.

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3. Other Initiatives for Individuals and SMEs

Further details of these initiatives, where applicable, will be issued by the respective banking and insurance associations.


The iTEKAD programme, which was launched in May 2020, combines social finance instruments such as zakat, sadaqah and waqf with the provision of microfinancing, structured training and mentorship. These instruments will empower micro-entrepreneurs from the B40 segment to generate sustainable income and achieve financial resilience.

In tandem with the increase in allocation to MEF, the iTEKAD programme will be expanded with the participation of more Islamic banks. This will be done in collaboration with a wider network of states and implementation partners, will be participating in the iTEKAD programme this year.


Financial assistance will be provided by the Government for the B40 segment in the form of vouchers to purchase insurance and takaful coverage under the Perlindungan Tenang scheme from licensed insurers and takaful operators. The financial assistance of RM50 voucher will be given to eligible B40 recipients to help them purchase Perlindungan Tenang products.

Perlindungan Tenang products are products approved by BNM to meet the needs of under-served market segments. The products must satisfy stringent criteria on affordability and customer value, with minimal exclusions to ease claims and ensure meaningful protections, particularly for lower income groups. The products include protection for life takaful and personal accident.

For more information on Perlindungan Tenang products and to obtain a list of participating providers, the public can refer to

Measures include deferment on life insurance premiums/family takaful contributions, flexibilities to preserve/reinstate policies, flexibilities to meet general insurance premiums/takaful contributions, and expedited claims processing until 30 June 2021.

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Loan R&R: Plan and Act Early

Borrowers should not wait until the end of the moratorium to contact their banks to get help. Plan and act now to get the most benefit.

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Tips for SMEs

These are collection of short videos excerpted from the webinars BNM has conducted

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