The Malaysia Ministry of Finance announced more than MYR 5 billion in microfinance facilities for 2026, aimed at supporting over 400,000 micro entrepreneurs through loans of up to MYR 100,000. The facilities are intended for small traders, hawkers and other micro businesses, including women, youth, gig workers, Technical and Vocational Education and Training graduates, small contractors, paddy farmers and asnaf groups. Schemes will be channelled through agencies and development finance institutions including Amanah Ikhtiar Malaysia, Bank Simpanan Nasional, TEKUN Nasional, Majlis Amanah Rakyat, Agrobank and Bank Rakyat, with some offering financing rates as low as 3% a year. Participating institutions have been directed to expand outreach to borrowers facing capital constraints, simplify application processes and keep financing terms proportionate and fair. The ministry said the package is separate from the newly announced MYR 5 billion Bank Negara Malaysia special SME assistance facility and the MYR 5 billion facility under Syarikat Jaminan Pembiayaan Perniagaan, bringing total financing support for micro, small and medium-sized enterprises in 2026 to more than MYR 15 billion.
Ministry of Finance (Malaysia) 2026-05-14
Malaysia Ministry of Finance provides over MYR 5 billion in 2026 microfinance for more than 400,000 micro entrepreneurs
The Malaysia Ministry of Finance announced more than MYR 5 billion in 2026 microfinance facilities, offering loans of up to MYR 100,000 to over 400,000 micro entrepreneurs across diverse small business segments. Financing will be channelled through multiple agencies and development finance institutions at rates as low as 3% a year, with instructions to expand outreach, simplify applications and maintain fair terms. The package is separate from the MYR 5 billion Bank Negara Malaysia special SME assistance facility and the MYR 5 billion Syarikat Jaminan Pembiayaan Perniagaan facility, bringing total 2026 financing support for MSMEs to more than MYR 15 billion.