Tekun needs to increase maximum loan amount to help SMEs

KOTA KINABALU: The National Entrepreneurial Group Economic Fund (Tekun Nasional) Group needs to increase the maximum loan amount up to RM500,000 to help more smalll and medium enterprises (SMEs) market their products and expand their potential globally.

Deputy Agriculture and Agro-based Industry Minister Datuk Seri Tajuddin Abdul Rahman said the maximum loan of RM100,000 currently seemed to be insufficient for SME entrepreneurs under the guidance of Tekun Nasional to export their products overseas due to higher operating costs.

He said this would also provide opportunities and greater space for Tekun Nasional entrepreneurs to market rural products not only locally but also globally.

“We want to see more Tekun entrepreneurs succeed. If Tekun managed to nurture budding entrepreneurs, then they should be assisted to grow their business by marketing their products globally,” he told reporters after opening the state-level Tekun Carnival at Padang Merdeka here yesterday.

The two-day carnival, which was officiated at by Sabah Chief Minister Tan Sri Musa Aman, is aimed at promoting and marketing the products and services of Tekun Nasional entrepreneurs, as well becoming a platform to widen their business network. Tekun Nasional has channelled RM4.9 billion in financing to almost 400,000 entrepreneurs nationwide since its inception.

Tajuddin added that of the amount, RM425.4 million was disbursed to 41,062 entrepreneurs in Sabah.

He said the repayment of Tekun Nasional loans was satisfactory, with Sabah recording the best record as nearly 100 per cent of the entrepreneurs repaid their loans.

In his speech, Musa said the government is committed to further developing Bumiputera entrepreneurs to be more competitive.

However, he said they needed to change their attitude by becoming more positive and dynamic besides being interested in enriching their knowledge in various aspects of business management.

“We don’t want Bumiputera entrepreneurs to lag behind in the competition, especially in critical industries and they also have to prepare themselves for the next challenge in the pursuit of the advanced economy,” he said.

At the event, Musa presented the excellent entrepreneur awards to 23 recipients, one from each parliamentary constituency in Sabah, and handed a replica of RM5.41 million cheque as a symbolic gesture for 207 Sabah entrepreneurs who received the Tekun Nasional Financing Facility. — Bernama