The Penang State Government has rolled out special package for small and medium-sized enterprises and micro enterprises. The special loan scheme known as the Penang Business Continuity Loan Scheme or Skim Peka PKS was announced by Chief Minister, Chow Kon Yeow. He said that the scheme will enable micro entrepreneurs and SMEs in the state to remain in business through capital injections.
Chow said the state government regards the SME sector as a partner in the development of Penang. He added that the SME sector is crucial in creating employment opportunities, increasing productivity, and spurring innovation and thus contributes to the prosperity of both the people and the state. “I am pleased to announce that Penang SME entrepreneurs may start to apply for the Skim Peka PKS from 8 April to 22 April.
“Through the Skim Peka PKS, the state government has allocated funding totalling RM30 million. As the total allocation is RM30 million, loans will only be awarded to applicants which meet the requirements, and on a ’first come, first served’ basis,” he said. The Penang Development Corporation (PDC) is the agency responsible for managing this scheme. All applications must be made online at www.pdc.gov.my.
The Skim Peka PKS will cover two categories – small and medium-sized industries (SMIs) and SMEs. Each SMI in the manufacturing sector may apply for a loan of up to RM50,000. An SMI in any other sector can apply for a loan of up to RM20,000. The scheme, Chow said, is interest-free and must be repaid in accordance with guidelines available on PDC’s website. All successful applicants need only start repayment from the seventh month onwards until the 30th month. “As an incentive, rebates will be given to those who are able to fully settle their loans by the 18th month or earlier. A late payment penalty of 8 per cent will apply if the loan is not repaid in full within the 30 month period. “In essence, what is offered through the Skim Peka PKS is the state government’s symbolic commitment towards SMI and SME entrepreneurs in Penang,” he said.