KUALA LUMPUR (July 12): AmBank has extended its financing facilities worth RM400 million from the SME Portfolio Guarantee (SPG) Revival Scheme as part of the ongoing strategic collaboration between the banking group and CGC to assist the small and medium enterprises (SMEs) in providing working capital to revive and support their business growth.
In a statement today, the bank said eligible SMEs can apply for financing facilities of up to RM1 million with a loan tenure of seven years, where 70% of the principal financing amount is guaranteed by CGC.
AmBank group chief executive officer (CEO) Datuk Sulaiman Mohd Tahir said: “Despite the challenging domestic and global environment, SMEs remain as a substantial backbone of the Malaysian economy. Having said that, it is crucial for financial institutions to work closely with this sector to support them in restarting their businesses and gearing towards recovery.”
Meanwhile, CGC president and CEO Datuk Mohd Zamree Mohd Ishak said the crisis has affected everyone, with the SMEs being hit the hardest.
“At CGC, we are continuously aligning our strategies and intensifying our support to SMEs. This RM400 million SME Portfolio Guarantee Revival Scheme is a coordinated collaboration with AmBank to support SMEs weather these crises by providing timely guarantee to entrepreneurs in need,” he added.
AmBank managing director of business banking Christopher Yap said the banking group is also working with CGC to eliminate pain points in the existing process as well as to link AmBank’s system seamlessly to CGC’s digital submissions and approvals.
“By working together with CGC to digitalise this process, we hope to create a seamless experience for SMEs. CGC has been a supportive partner of AmBank throughout the years and we hope to strengthen this partnership further with forward-thinking initiatives for the betterment of SMEs in Malaysia,” Yap added.
Meanwhile, in the statement, AmBank also noted that it is also exploring another upcoming RM300 million tranche, namely the Extended SPG Revival, together with the sub-programme of the merchant segment.
