MIDF TO ASSIST ENTREPRENEURS WITH ESTIMATED RM625 MILLION SOFT LOAN FINANCING APPROVALS IN 2017

 

Kuala Lumpur, 30 November 2016 – Malaysian Industrial Development Finance Berhad’s (“MIDF”), plans to further support local small and medium enterprise (“SME”) companies through its various financial assistance packages. Presently, it manages close to RM2.1billion soft loan schemes set to catalyse competitiveness amongst local companies. MIDF aims to approve another RM625million of financing to local entrepreneurs in 2017 in line with the direction of the Government for the SMEs to be innovative, competitive, and resilient.

 

YB Datuk Chua Tee Yong, Deputy Minister of International Trade and Industry, during a “Turun Padang” visit to SME companies in Kuala Terengganu, said that the Government encourages local SMEs to increase investment in value-added manufacturing activities, as well as be more innovative on top of practising cost efficiency in its production activity and services delivery. In parallel with this, he highlighted the success of companies utilising the various government funds provided, particularly via MIDF’s financing schemes.

 

YB Datuk Chua makes this statement in conjunction with his visit to Avialite Sdn Bhd. Avialite Sdn Bhd is the first home-grown manufacturer of LED technology aviation lighting. Approximately 85% of the company’s products are for the export market, with major clients including Ericsson and Nokia Siemens Networks.

 

MIDF has provided Avialite Sdn Bhd with financing assistances for a bigger and more conducive factory as well as working capital requirements. These are amongst the many support structures offered by MIDF as part of its five main soft loan schemes: Soft Loan Scheme for Automation and Modernisation (‘SLSAM’); Soft Loan Scheme for Small Medium Enterprises (‘SLSME’); Soft Loan Scheme for Services Capacity Development (‘SLSCD’); Soft Loan Scheme for Services Sector (‘SLSSS’); and Soft Loan Scheme for Services Export (‘SLSSE’).

 

Through these soft loan schemes, MIDF has been able to assist over 3,700 local SME’s with total funding approvals of RM4.4 billion as at 31st October 2016. The programmes aim to provide Malaysian SMEs the opportunity to acquire and enhance their capacities and capabilities using state-of-the-art machinery and equipment. Additionally, this allows them to adopt automation in production processes to produce competitive products and high quality services, simultaneously improving their cash flow positions.

 

MIDF’s financial assistance programmes are intended for the establishing or expanding of businesses involving the acquisition of fixed assets such as land for the construction of industrial and commercial buildings, ready-built industrial or commercial buildings, plants, machinery and equipment, as well as the provision of working capital requirement.

 

The past 56 years has seen MIDF assisting 10,392 local companies with total loans approved of RM13.4billion. In line with the ambition for local SMEs to further progress, the Government encourages SMEs to leverage on the services offered by government agencies such as MIDF and its financing schemes to modernise and increase competitiveness.

 

 

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About MIDF

 

MIDF was established fifty-six years ago as a result of a study by the World Bank. MIDF is the country’s premier development finance institution for the purpose of accelerating the development and modernisation of the country’s manufacturing industry.

 

MIDF Group has evolved into a stronger and bigger entity, offering a competitive and diversified range of financial services to include Investment Banking, Development Finance, Asset Management and Mezzanine Financing.

 

MIDF is a wholly-owned subsidiary of Permodalan Nasional Berhad.

 

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For more information, please contact:

 

Anita Ramly  

Group Corporate Communications

Tel: (03) 2173 8756

Fax:  (03) 2173 8866

E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it. 

 

Farah Atiqah Zuhdi

Group Corporate Communications 

Tel: (03) 2173 8752

Fax:  (03) 2173 8866

E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.