Funding Societies: Helping businesses to get back on their feet; 2022 Budget a boon for SMEs

KUALA LUMPUR, 29 Oct 2021: The budget tabled today will spur the economic development of the country and give a much-needed boost to Malaysia’s MSMEs, many of whom have been struggling to get back on their feet.

Representing the largest SME digital financing platform in the country and in Southeast Asia, Funding Societies Malaysia co-founder and CEO, Wong Kah Meng lauds the move of Ministry
of Finance YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz to allocate RM80mil through Malaysia Co-Investment Fund to support alternative financing including equity crowdfunding and peer-to-peer financing.

“The government’s decision to allocate more funds into alternative financing will further support the needs of MSMEs who are underserved by traditional financial institutions and open up opportunities for businesses who have been adversely impacted by the pandemic.”

On innovation and the allocation of RM45mil for Industry4WRD, Kah Meng said the quest to shape the future with the value proposition on Industry 4.0 is crucial for many MSMEs to adapt, as their businesses are now competing in the global marketplace during the pandemic.

“Besides ensuring the availability of various financing schemes and initiatives, we need to also have a strong technological and innovation infrastructure as well as local businesses that are ready to market globally through Industry 4.0 and the Digital Economy,” Kah Meng stated.

Last but not least, as an SME financing platform, Funding Societies has its own deferment scheme but is grateful that the government has also announced that scheduled payments for micro, small and medium enterprises can be deferred for up to six months until June 30, 2022.

"This move would definitely help keep MSMEs afloat longer and make it to the light at the end of the tunnel during this crucial transition period when more activities are opening up. Sustainability is paramount and this would allow all MSMEs a chance to recover and thrive.”.