Kuching: Bandar Kuching MP Dr Kelvin Yii Lee Wuen has called on local Chinese micro, small and medium-sized enterprises (MSMEs) and entrepreneurs to take advantage of the newly launched Chinese Community Micro-Loan Scheme, describing it as a rare financing opportunity to spur business growth.
Dr Yii said the scheme could be utilised by entrepreneurs to start new ventures or expand existing businesses, helping to strengthen the local Chinese business community.
He was responding to an announcement by Minister of Entrepreneur and Cooperatives Development (MECD) Steven Sim Chee Keong that the federal government has introduced a micro-financing programme specifically for Chinese MSMEs, with the total allocation increased to RM100 million.
According to Dr Yii, applications for the scheme are expected to open within the year through SME Bank and Bank Rakyat, with each bank allocated RM50 million.
“Applications will remain open until the funds are fully utilised,” he said.
He said the scheme offers several benefits, including low interest rates, no collateral requirements, and faster approval processes, which will help ease financing constraints faced by Chinese MSMEs.
“Priority will be given to applicants who have never previously obtained bank loans, allowing more entrepreneurs to access formal financing for the first time,” he said.
Dr Yii added that the government has also committed to relaxing application requirements as much as possible, provided applicants meet basic financial and compliance criteria.
“Under the scheme, SME Bank will offer its SUCCESS Financing Programme, providing loans ranging from RM100,000 to RM3 million, while Bank Rakyat’s BR Prosper-i Financing Programme will offer financing from RM1,000 to RM1 million to cater to micro-enterprises and SMEs of varying sizes.
“In terms of approval timelines, the BR Prosper-i programme has an approval period of about 14 days, while the SUCCESS programme currently takes between 30 and 40 days. Efforts are underway to further streamline procedures to shorten processing times,” he said.
Dr Yii said the micro-loan scheme is among the key reforms introduced by Minister Ewon Benedick after assuming leadership of the MECD, marking the first time a financing product has been established specifically for Chinese MSMEs.
He urged Chinese business owners not to delay their applications and to prepare the necessary documents early to fully benefit from the government initiative.
