SME Bank expects to boost fund allocation for online businesses
KUALA LUMPUR: SME Bank Bhd expects to increase fund allocation of RM200 million for online business segment on the back of the Digital Free Trade Zone (DFTZ).
“The creation of DFTZ could not have come at a better time for us at SME Bank as we have been working on a dedicated development programme called BIDIT, for young entrepreneurs aged 20 to 35 to expand their existing small businesses into the digital and e-commerce platform,” said group managing director Datuk Mohd Radzif Mohd Yunus at the launch of SME Bank’s annual outreach programme, the SME Bank XCESS 2017, here, yesterday.
“We have allocated RM200 million for BID-IT. As of last year, we have deployed between RM60 million and RM70 million. We might increase the total allocation if there is enough demand for it.”
He said the key to survival for Malaysian small and medium enterprises (SMEs) in an increasingly competitive market place was the diversity of product and services offering.
“With DFTZ, local SMEs are no longer competing in the country, but on the global scale.
“This is when diversification of products and offerings comes into play as a stronger and more unique preposition will be able to withstand the competition,” said Radzif.
Meanwhile, International Trade and Industry Minister’s speech, which was delivered by Deputy International Trade and Industry Minister Datuk Ahmad Maslan, has called on SME entrepreneurs to take advantage of the avenues provided by SME Bank and ministry.
These include Bank Negara Malaysia, the Secretariat for Empowerment of Indian Entrepreneurs, Secretariat for the Advancement of Malaysian Entrepreneurs, Celcom Axiata Bhd, UEM Group Bhd, Chemical Company of Malaysia Bhd, Credit Guarantee Corp, Simfoni IDM Sdn Bhd and Syarikat Jaminan Perniagaan Bhd.
“All these conveniences have already been provided for SMEs, given the importance of the segment to our economy,” he said.
Under the SME Bank XCESS programme, SME Bank had approved financing of almost RM1 billion last year. Lidiana Rosli
With DFTZ, local SMEs are no longer competing in the country, but on the global scale.