The Ministry of Entrepreneur Development and Cooperatives (MEDAC) has allocated another RM200 million to help micro, small and medium-scale enterprises (SMEs) hard hit by Covid-19 and the floods. This is in addition to RM200 million initially approved in December last year.

This measure is in response to many complaints that there is a delay in disbursing the initial funds. But actually there was no delay but the RM200 million was given out fully and was found to be insufficient.

Also, on Feb 9, Prime Minister Datuk Seri Ismail Sabri Yaakob announced a RM3,000 one-off grant through Tekun Nasional, for micro and informal businesses affected by the recent floods with the initiative expected to benefit 15,000 such businesses.

Ismail Sabri said under the Informal and Micro Financing Scheme (SPIM), borrowers could take up interest-free loans of up to RM10,000.

Affected SMEs can also seek interest-free loans of up to RM100,000 from the SME Emergency Fund.

Borrowers under both categories would be given five years to service their loans as well as a 12-month moratorium. So far around 13,000 such businesses have applied for the one-off assistance.

-THE MALAYSIA VOICE