Central bank, Bank Negara Malaysia (BNM) has issued a statement to reassure borrowers facing financial difficulties due to the pandemic that repayment assistance remains available to individuals and SMEs.
“Despite ongoing measures to contain Covid-19, the resumption of economic activities has enabled many borrowers to resume paying down their debt. To date, around 85% of borrowers have started making their monthly instalments,” BNM stated.
BNM is also collaborating with Putrajaya and the financial industry on several initiatives to assist both individuals and SMEs.
The iTekad programme which was launched in May 2020 will be expanded with the participation of more Islamic banks.
Financial assistance of RM50 voucher will be given to eligible BPN recipients to help them purchase Perlindungan Tenang Products starting April 1 next year.
The central bank will also establish a RM2 billion Targeted Relief and Recovery Facility (TRRF) fund. The facility is for eligible SMEs whose revenues have been affected by the recent EMCO and CMCO implementation.
Furthermore, BNM has also established a RM500 million High Tech Facility (HTF) to support SMEs in high-tech sectors, for example fertilisers and synthetic rubber, basic chemicals, refined petroleum products, biotech pharmaceuticals as well as air and spacecraft sub-sectors.
Further details on HTF will be announced on Dec 1.
The Micro Enterprises Facility (MEF) will further see an increase of RM110 million in allocation to support microenterprises including gig workers on digital platforms and the self-employed.
The facility is for capital and capital expenditure.
Other initiatives will include additional repayment assistance to the B40 segment and microenterprise borrowers as well as enhancements to the Targeted Repayment Assistance (TRA).
B40 and microenterprise borrowers who had previously received other forms of targeted repayment assistance and who wish to request for further assistance under the additional measures announced today can still do so by contacting their banks.
The additional repayment assistance will be available to eligible borrowers between Nov 23 and June 30,2021.