Strengthening SME Support Under the MADANI Government

6 December 2024

KUALA LUMPUR: Datuk Ewon Benedick, Minister of Entrepreneur Development and Cooperatives (MEDC), reaffirmed the MADANI government's commitment to fostering an enabling environment for small and medium enterprises (SMEs) to flourish.

Under the leadership of Prime Minister Datuk Seri Anwar Ibrahim, MEDC has been entrusted to create a conducive and holistic entrepreneurship ecosystem that accelerates the growth of entrepreneurs and cooperatives.

In his address during the SME100 Awards 2024, on Thursday (Dec 5) the Minister emphasised on the critical need for comprehensive support, including policy frameworks, financial assistance, market access, and capability building.

“Empowering our SMEs to reach greater heights is our utmost priority. Building resilient SMEs and cooperatives capable of evolving through changing times has become a key focus for the government,” he stated.

Ewon highlighted the National Entrepreneurship Policy 2030 (NEP 2030), which aims to transform Malaysia into an Entrepreneurial Nation by the year 2030. The NEP 2030 outlines strategies and initiatives designed to help Malaysia achieve its entrepreneurial aspirations.

“Through this policy, we are paving the way for a vibrant entrepreneurial ecosystem that encourages inclusivity and allows all segments of society to explore their entrepreneurial potential,” he added.

Ewon also addressed the government's commitment to enhancing the ease of doing business, improving access to markets and funding, and promoting a culture of innovation that aligns with national goals for inclusivity and sustainable development.

“Our efforts aim not only to empower entrepreneurs but also to ensure that they play a central role in advancing the nation’s economic prosperity while uplifting communities across Malaysia,” he explained.

In a recent announcement, the government unveiled an extensive support package for SMEs as part of Budget 2025, allocating a total of RM40 billion in low-interest loans and financing guarantees through various agencies. This includes RM3.2 billion in micro loans to be provided through TEKUN and Bank Simpanan Nasional (BSN) to assist small traders, including individuals with disabilities and various community groups.

He shared that an additional RM130 million has been allocated specifically to support Indian micro, small, and medium enterprises (MSMEs). To further ensure SMEs can access the necessary financing to grow their businesses, the government, through the Small and Medium Enterprises Corporation Malaysia (SME Corp), will guarantee SME financing of up to RM20 billion. This includes a special RM5 billion guarantee designed specifically for Bumiputera SMEs.

Ewon acknowledged the challenges SMEs face, as highlighted by fellow attendees, stating, “We are committed to ensuring that our SMEs are not left behind in the global supply chain or in high-growth, high-value sectors as part of Ekonomi MADANI.”

He concluded by affirming that through SME Corp and focused efforts on innovation, research, and development, the government aims to increase SME participation in the global supply chain and inspire more SMEs to list on Bursa Malaysia, enhancing their visibility and opportunities for growth.

Also present during the event were Datuk William Ng National President, Small and Medium Enterprises Association (SAMENTA) Datuk Mustafa Aziz Chief Executive Officer (CEO) of Matrade, Datuk Sikh Shamsul Sikh Abdul Majid CEO of Malaysian Investment Development Authority (MIDA) and Zahid Ismail Director General of Malaysia Productivity Corporation (MPC)