18 February 2019
SJPP launches RM2 billion government guarantee for SMEs
Finance Minister Lim Guan Eng says SMEs’ contribution to the GDP is expected to rise to 41% by 2020, from 37% last year.
KUALA LUMPUR: Syarikat Jaminan Pembiayaan Perniagaan Bhd (SJPP) today launched a RM2 billion special government guarantee scheme to help small and medium-sized enterprises (SMEs) progress towards Industry 4.0.
Finance Minister Lim Guan Eng said the scheme was part of the RM6.5 billion guarantees allocated in the 2019 Budget.
He added that without SMEs powered with Industry 4.0 technology, Malaysia would not be able to move forward and would not become the prime investment destination for high technology manufacturing and high value-added services.
“The RM2 billion guarantee scheme provided by SJPP is designed bearing in mind that SMEs contributed 37% of the Malaysian gross domestic product last year. That contribution is expected to rise to 41% by 2020,” Lim said in his speech at the launch today.
Under the RM2 billion guarantee scheme, up to 70% of the borrowings made by SMEs will be guaranteed by SJPP.
Since its inception in 2009, SJPP has made available a total of RM35 billion guarantees of which RM18 billion has been used to benefit 14,000 SMEs nationwide.