BANK MUAMALAT, CGC LAUNCH FIRST 'HALAL PORTFOLIO GUARANTEE-I SCHEME' TO SUPPORT SMES

KUALA LUMPUR, Nov 13 (Bernama) -- Bank Muamalat Malaysia Bhd has launched the first “Halal Portfolio Guarantee-i Scheme” in collaboration with Credit Guarantee Corporation Malaysia Bhd (CGC) to provide a robust financial safety net for small and medium enterprises (SMEs) in Malaysia.

In a statement, Bank Muamalat said this initiative will offer guarantees for financing facilities extended to SMEs engaged in halal-related businesses, ensuring that they have access to necessary funds while adhering to Islamic principles.

It said that with a fund of RM70 million, this initiative is strategically designed to offer accessible and affordable financing to businesses in various sectors.

“The programme will facilitate businesses in accessing much-needed capital for working capital and capital expenditure, including halal certification and asset acquisition.

“The financing terms are designed to be flexible, with maximum tenures of up to seven years for SMEs and three years for micro SMEs,” the bank stated.

Its president and chief executive officer Khairul Kamarudin said the introduction of this portfolio reflects its commitment to empowering small and micro businesses in Malaysia.

“In response to the call of the government and Bank Negara Malaysia to support SMEs, which represent nearly 97 per cent of all business establishments in Malaysia, Bank Muamalat has shown unwavering support through various initiatives, including tailored financing solutions and partnerships with key industry players to provide SMEs with the resources and support.

“By collaborating with CGC, we aim to increase access to financing and provide businesses with the opportunity to grow while adhering to the principles of Islamic finance,” he added.

-- BERNAMA