SME BANK MOBILISES FLOOD ASSISTANCE TO BOOST MSME RESILIENCE

KUALA LUMPUR, Dec 3 (Bernama) -- Small Medium Enterprise Development Bank Malaysia Berhad (SME Bank) is mobilising flood relief assistance, to support entrepreneurs and businesses affected by the recent floods in several states.

SME Bank acting president and chief executive officer Samad Majid Zain Abdul Majid said the initiative underscores the bank’s ongoing commitment to strengthening the resilience of micro, small and medium enterprises (MSMEs), particularly during operational disruptions caused by natural disasters.

“As a Development Financial Institution (DFI), our role extends beyond providing financing - it also includes delivering the right support to entrepreneurs in times of need.

“This initiative serves as an immediate measure to ease the burden on affected entrepreneurs, support their recovery and enhance their resilience against future climate-related risks,” he said, in a statement, today.

The assistance is aimed, among other things, at easing the burden on affected entrepreneurs and helping them recover swiftly, while also strengthening their resilience to future natural disasters.

“Over the past five years, our flood assistance initiatives have supported nearly 500 customers, involving a total outstanding value of RM550 million. This demonstrates our long-term commitment to standing by entrepreneurs during times of crisis,” he said.

Samad Majid Zain added that SME Bank also provides support through the Relief and Adaptation Facility (RAFt), a fund established by Bank Negara Malaysia (BNM) to strengthen flood preparedness and ensure business continuity for micro, small and medium enterprises (MSMEs).

He said RAFt offers two forms of targeted assistance. The first is relief financing, which provides up to RM1 million, at a profit rate of 3.50 per cent per annum, to help MSMEs ease immediate cash flow constraints.

The second, adaptation financing, offers up to RM1 million, at a profit rate of three per cent per annum, to strengthen long-term resilience against flood risks, with a maximum financing tenure of seven years.

“SME Bank encourages entrepreneurs affected by the floods to get in touch with their respective relationship managers.

“Alternatively, they may contact the SME Bank Customer Call Centre at 03-2603 7700, visit www.smebank.com.my, or refer to the bank’s official social media channels for further information and the latest updates,” he said.

-- BERNAMA