Several members of the Association of Development Finance Institutions Malaysia (Adfim) have allocated more than RM900 million as financing aid for communities and SMEs affected by or forced to halt operations since March due to the Covid-19 outbreak.
In addition, Adfim members have also donated an approximate total of RM14.1 million to various organisations in order to help frontliners and affected communities in fighting and coping with the harsh impacts of COVID-19.
According to Adfim secretary-general Mohd Prasad Hanif, Adfim has 17 members, including Bank Simpanan Nasional (BSN), the operator of the Micro Credit Scheme that has donated RM700 million to qualified businesses and entrepreneurs, and Bank Rakyat.
One of BSN special COVID-19 relief scheme involves the offering of easy-to-access financing for micro-entrepreneurs and business owners throughout all sectors who are in need of help.
Additionally, they have also eased its loan eligibility requirement with minimum operation period of six months instead of one year.
According to Mohd Prasad in a recent statement, the amount of financing has also been raised from a maximum of RM50,000 to RM75,000 for each entrepreneur.
“Besides that, the bank offers mortgage-free financing of up to RM250,000 involving a special relief facility for those in the agrofood, automation and digital industries with tenures of between five and seven years,” he said.
At the same time, Bank Rakyat has allocated RM200 million to meet cooperatives and SMEs’ financing needs from 23 March.
“The bank also offers a six-month moratorium on financing repayment for individuals and companies in industries affected such as aviation, tourism and transportation,” Mohd Prasad said.
In an effort to continue supporting the struggling SMEs amid the pandemic, Adfim urges those interested in the financing aid available to directly communicate with the respective institutions.