SME Corp: Allocation of RM134.6m to benefit 16,700 MSME this year

KUALA LUMPUR: SME Corporation Malaysia (SME Corp) will allocate RM134.6 million to benefit some 16,700 micro, small and medium enterprises (MSME) in 2024.

According to Deputy Entrepreneur and Cooperatives Development Minister Datuk Ramanan Ramakrishnan, SME Corp disbursed a total of RM131.3 million in funds for 22,861 MSME nationwide last year.

He noted that the target this year is lower compared to 2023, due to additional allocation to help entrepreneurs nationwide via the Micro Madani Strengthening Programme.

“For this year, our aim is for 16,700 MSME but SME Corp will try to increase (the number) as best as possible in 2024,” he said at a press conference after a SME Corp briefing session today.

“This includes financial assistance programmes for export purposes, such as the Bumiputera Export Incentive Programme and SMEs Go Global, as well as export capacity development programmes and business matching.

“Through the planned programmes and initiatives this year, Mecd, through its agencies, including SME Corp, remains committed to strengthening the country’s entrepreneurial ecosystem in line with the National Entrepreneurship Policy 2030 vision to make Malaysia a leading entrepreneurial nation and the Madani Economic Framework as a platform to elevate the country’s dignity by restructuring the economy towards making Malaysia a leading economy in the Southeast Asian region.”

He pointed out that the Mid-Term Review of the 12th Malaysia Plan has set clear targets for the growth of MSME by 2025, such as contributing 41% to gross domestic product, 15% to exports, 3.5% in average labour productivity growth as well as +90% of MSME digitising their business operations.

Meanwhile, SME Corp CEO Rizal Nainy said about 83% to 84% of MSME fall under the services sector with the majority in the food and beverage industry.

“We try to provide assistance to all MSME in all sectors, whether they be services, manufacturing, construction and farming,” he added.

Rizal said SME Corp’s programmes are directed towards high-value creation, whereby it focuses on encouraging MSME involvement in high-impact industries, which will contribute to domestic trade and export value.

He said it has identified eight high-impact industries such as medical devices, smart farming, aerospace, electrical and electronics, biotechnology, halal and others, which will bring great impact to the industry and country.

Additionally, SME Corp will continue to implement other key programmes such as the Bumiputera Enterprise Enhancement Programme, Bumiputera Youth Entrepreneur Seed, Export Strengthening Programme, Strategic Industry Enhancement Programme, and High-Performance Company programme, as well as the BizMe Programme for inclusive enterprise development.