The Ministry of Entrepreneur Development and Cooperatives has approved RM25.27 billion in financing for 847,653 entrepreneurs and cooperatives nationwide between 2024 and May 31, 2026 to support business growth, expansion and sustainability.
Deputy Minister Datuk Mohamad Alamin said the financing, channelled through the ministry’s agencies, was aimed at helping micro, small and medium enterprises (MSMEs) and cooperatives strengthen working capital, expand operations and upgrade business premises and equipment.
Speaking during Question Time in the Dewan Rakyat on Monday, he said the effectiveness of the financing schemes was measured through borrowers’ repayment performance, which reflected their ability to generate consistent income and manage cash flow effectively.
“This shows that the financing provided not only helps meet businesses’ capital requirements, but also contributes to the resilience and long-term sustainability of entrepreneurs’ businesses,” he said in reply to Rodiyah Sapiee (GPS-Batang Sadong).
Mohamad said each financing agency sets its own non-performing financing (NPF) target instead of adopting a ministry-wide benchmark. As of May 2026, TEKUN Nasional recorded an NPF rate of 9.69%, SME Bank 10.49%, Bank Rakyat 1.93% and Amanah Ikhtiar Malaysia just 0.01%.
He added that SME Corp’s peer-to-peer financing platform approved RM18.5 million for 39 MSMEs between January and May this year, reducing approval times to seven days or less from 21 days previously.
Responding to supplementary questions, Mohamad said the ministry continues to support rural entrepreneurs through entrepreneurship training, digitalisation programmes, halal certification assistance and collaboration with TikTok Shop Malaysia, while also expanding initiatives to help Orang Asli entrepreneurs commercialise tourism and handicraft products.
