RM2.9 billion incentives for Bumi entrepreneurs
KUALA LUMPUR: Prime Minister Datuk Seri Najib Razak has announced yesterday 11 incentives for Bumiputera entrepreneurs, worth RM2.9 billion in total.
To encourage more entrepreneurs from the ethnic majority listing their companies on the Bursa Malaysia’s Leading Entrepreneur Accelerator Platform (LEAP) market, Putrajaya has allocated RM50 million in the first incentive announced here.
“A matching grant worth RM500,000 will be granted to every company that has successfully listed and entered SME Corp’s Bumiputera Enterprise Enhancement Programme (BEEP),” he said.
The second incentive he announced was the Local to Global Corporation Ascend 800 (LGC800) programme, with RM40 million allocated.
Under LGC800, 80 high performance Bumiputera small and medium enterprises (SME) will enjoy a soft loan scheme of RM500,000 to assist in their own transformation programmes.
Najib, who addressed a crowd of 10,000 entrepreneurs in a packed stadium at Bukit Jalil, also allocated RM60 million to train and prepare 3,000 bumiputera youths under Programme Tunas Usahawan Belia Bumiputera (TUBE).
Najib who had his sleeves rolled up for this occasion also teased representatives of TUBE, saying that they formed the biggest group in the stadium to which they showed their approval by cheering.
Another RM50 million had been allocated to execute the WIRA eDagang Digital Free Trade Zone (DFTZ) initiative for the next three years.
This initiative will be jointly administered by Malaysia Digital Economy Corporation (MDEC), SME Corp and Malaysia External Trade Development Corporation (Matrade) to push Bumiputera ecommerce companies to compete globally.
“Under the SpeedMeUp incentive, the government has allocated RM50 million under SME Corp to assist Bumiputera start-ups kick off their operations with a matching grant of up to RM250,000,” he said.
Each of his announcement was met with roars of approval and cheers from the crowd.
Najib also extended the SME export encouragement allowance (Galakan Elaun Peningkatan Eksport bagi SME) for another two years, ending in 2020.
“A fund of RM500 million will be made ready to encourage the development and growth of Bumiputera in the retail and distribution industry where RM200 million has been allocated by the government and the remaining RM300 million will be granted by Perbadanan Usahawan Nasional Berhad (PUNB).
“Mara will extend the Express Contract Financing Scheme (Skim Pembiayaan Kontrak Ekspres SPIKE) worth RM50 million which will benefit 3,000 Bumiputera.
“On top of that MARA will allocate RM50 million under its Easy Success Financing Scheme (Skim Pembiayaan Mudah Jaya SPIM) for micro entrepreneurs,” said Najib to the crowd’s approval.
Teraju has been granted the mandate to be the sole coordinator on all policies and programmes regarding Bumiputera at the ministry, agencies, corridor and GLC levels.
Another RM50 million has been allocated for the Investment Incentive Fund (Dana Insentif Pelaburan) to increase Bumiputera equity in strategic sectors.
Finally, Najib announced the extension of the Second Phase of the Bumiputera Dana Mudahcara and extended its allocation by another RM2 billion beginning this year.
After announcing to the 10,000-strong crowd on the federal government’s plans to assist the Bumi economy, the Umno president could not resist taking pot shots at his political rivals in Pakatan Harapan.
“I have studied the other side’s manifesto. Their manifesto contains 60 promises. However, there was only a single promise that had the words “Bumiputera Economy” in it. And that is number 30.
“It’s not the first, nor the second. It’s not even the tenth or the twentieth promise but... it is the 30th promise. And I studied this promise, it has no substantial content to strengthen and raise Bumiputera economy in a complete and firm manner,” said Najib.
The end of the address saw the in-door stadium reverberate with the crowd and Najib chanting: “Bumiputeraku! Hebat! Hebat! Hebat!”