Friday, July 25, 2008

Two financing facilities to help SMEs weather hard times

The Star Online reports that Bank Negara will set up two financing facilities of up to RM1.2bil to help small and medium enterprises (SMEs) cope with the impact of higher costs due to rising prices.

Prime Minister Datuk Seri Abdullah Ahmad Badawi announced yesterday that the RM700mil SME Assistance Facility and the SME Modernisation Facility with an allocation of RM500mil would commence on Aug 1. He said special measures were being introduced to assist SMEs weather hard times.

“The measures also include loan restructuring, provision of advisory services on effective cost management and incentives to invest in energy-saving and energy-efficient initiatives, “ he said when launching the SME Annual Report 2007 at Bank Negara yesterday. Read the full report at Star Online.
I hope due consideration will also be given to the plight of very, very small people who are doing very, very small businesses; literally, the kueh, pisang goreng and kari pap operators. They fall within the microfinance category that I had a rather prolix entry on yesterday. Read here.

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