Working Capital Guarantee Scheme - Extension (WCGS-E)
  • Name of Scheme
    Working Capital Guarantee Scheme - Extension (WCGS-Extension)
  • Objective
    To assist SME companies in all sectors to gain access to financing from participating Financial Institutions (FIs)
  • Scheme Limit
    RM7.0 billion (on a revolving basis until expiry of the Scheme)
  • Eligibility
    Open to all SMEs companies under all sectors incorporated under the Companies Act 1965 and/ or Companies Act 2016 with at least 51% shares held by Malaysian and shareholders’ fund below RM20.0 million
  • Purpose of Financing
    The facility is to be used for working capital as well as for capital expenditure (CAPEX) and cannot be used to refinance existing facility granted by the same or other participating FIs
    The participating FIs and/ or SJPP will be responsible for determining the genuineness of the Borrower/ Customer based on their respective credit evaluation procedures
  • Guarantee Coverage
    70% guarantee to the financing obtained from the participating FIs (including principal and interest/ profit) by the Government of Malaysia
  • Guarantee Fee
    1.0% per annum payable upfront
  • Financing Limit
    Minimum: RM100,000.00 only
    Maximum: RM5.0 million only
  • Tenure of Financing
    For a period of thirteen (13) years or until 31st December 2030, whichever is earlier
  • Interest/ Profit Rate
    Determined by participating FIs
  • Type of Facility
    Term Loan/ Term Financing, Overdraft/ Cash Line-i, Trade Facility
  • Participating Financial Institutions
    Open to all Commercial Banks, Islamic Banks and Development Financial Institutions under the purview of Bank Negara Malaysia
  • Source of Funds
    From the participating FIs
  • Availability/ Application Period
    Opened from 1st January 2016 and upon full utilisation of the scheme limit of up to Ringgit Malaysia Seven Billion (RM7.0 billion) only or upon expiry of guarantee tenure on 31st December 2030, whichever is earlier