UOB, SJPP in tie-up to offer SMEs up to RM1m financing

KUALA LUMPUR: United Overseas Bank (Malaysia) Bhd (UOB Malaysia) has entered into an agreement with Syarikat Jaminan Pembiayaan Perniagaan Bhd (SJPP) to offer government-guaranteed financing to small and medium enterprises (SMEs).

UOB said SMEs could obtain collateral-free loans of up to RM1 million through the SJPP-UOB BizMoney financial solution.

This is twice the amount available to customers under the existing UOB BizMoney package.

SJPP is an administrator and manager of credit guarantee schemes under the Finance Ministry.

It will guarantee up to 70 per cent of the loan through its Working Capital Guarantee Scheme and Services Sector Guarantee Scheme.

UOB Malaysia chief executive officer Wong Kim Choong said the partnership with SJPP would give SMEs access to additional financing to capitalise on business opportunities and help them meet their working capital needs.

The SJPP-UOB BizMoney financial solution provides flexible repayment tenures of 18, 24, 36, 48 or 60 months, with interest rates starting from as low at 0.54 per cent per month.

SJPP principal officer Dr Nungsari Ahmad Radhi said the government is committed to providing continuous support to SMEs through various initiatives, products and services.