MALAYSIA’S banking industry has reaffirmed its commitment to supporting small and medium enterprises (SMEs), including microenterprises, following the doubling of Bank Negara Malaysia’s (BNM) SME Stabilisation Relief Facility (SME SRF) to RM10 bil.
The Association of Banks in Malaysia (ABM), the Association of Islamic Banking and Financial Institutions Malaysia (AIBIM) and the Association of Development Finance Institutions of Malaysia (ADFIM) said the expanded facility would help affected businesses access working capital and appropriate financial assistance.
As at Sept 30, 2026, RM3.8 bil in financing had been approved under the facility’s initial RM5 bil allocation, benefiting more than 6,800 SME accounts, according to BNM.
The additional RM5 bil allocation announced under Budget 2027 brings the facility’s total allocation to RM10 bil, extending affordable working capital support to more businesses affected by the Middle East conflict.
The SME SRF is designed to help viable SMEs facing temporary cash-flow pressures arising from the conflict, including disruptions to global trade and supply chains, so they can sustain their business operations.
Participating financial institutions will continue to assist eligible SMEs in understanding the facility’s requirements, preparing applications and identifying financing options suited to their needs, the associations said.
For businesses experiencing financial difficulties, banks will also assess appropriate forms of assistance, which may include repayment flexibility or the restructuring of existing financing facilities, depending on individual circumstances.
The associations will support outreach and financial education initiatives to help SMEs manage their finances and access reliable information on available assistance.
These efforts complement the banking industry’s ongoing engagement with businesses to identify challenges early and explore practical solutions.
The SME SRF is available to affected SMEs across all economic sectors until June 30, 2027, or until the allocation is fully utilised, whichever comes first.
Eligible micro, small and medium enterprises (MSMEs) can obtain information on participating banks through BNM’s website at https://www.bnm.gov.my/funds4sme or contact their banks directly. ‒ Oct 29, 2026
Details of member banks are also available on the respective associations’ websites:
– ABM: https://www.abm.org.my/about-us/abm-members/
– AIBIM: https://www.aibim.com/members
– ADFIM: https://adfim.com.my/members-directory/
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