Kuskop disburses RM10.7 billion in financing to nearly 300,000 entrepreneurs in Malaysia

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Kuskop disburses RM10.7b to small businesses

Highlights

The Ministry of Entrepreneur Development and Cooperatives disbursed RM10.7 billion in financing to nearly 300,000 entrepreneurs from January to September 2023.
RM3.14 billion of the financing was in the form of microfinancing, with two-thirds of recipients being hawkers and small traders.
From August 2023, Tekun Nasional financing applications could be submitted online, a change expected to broaden access and simplify the process for entrepreneurs.

This article was translated from the original. Read the original version by our correspondent here.

Financing targets and faster access

As reported by The Edge Malaysia, the Ministry of Entrepreneur Development and Cooperatives disbursed RM10.7 billion in financing to nearly 300,000 entrepreneurs from January to September this year, out of a total RM15 billion commitment channelled through seven financing agencies.

Its minister, Steven Sim, said RM3.14 billion of the RM10.7 billion went to microfinancing. He said around 200,000 recipients, or about two-thirds of all entrepreneurs who received financing, were hawkers, small traders, shopkeepers and similar groups.

He also said Kuskop had introduced several key measures to protect traders and entrepreneurs, including requiring financing applications below RM20,000 to be approved within 24 hours. He said urgent capital needs often indicate that applicants are in a difficult situation, and delays could push them to seek loans from unlicensed moneylenders.

Impact on small entrepreneurs and digital applications

Sim said agencies under Kuskop were required to respond within 24 hours to help hawkers and small traders obtain funds more quickly. The measure reflects the ministry's focus on the microenterprise segment, which is typically more vulnerable to cash-flow constraints.

He said that from August this year, applications to the National Entrepreneurial Group Economic Fund, Tekun Nasional, could for the first time in its history be submitted online. The change is expected to broaden access to financing and make the application process easier for entrepreneurs nationwide.

Sim spoke at the closing ceremony of the 2026 National Hawkers and Small Traders Day Carnival in Kajang, officiated by Prime Minister Datuk Seri Anwar Ibrahim. He also expressed his appreciation to the prime minister for his continued support for the country's entrepreneurship sector.

In our previous coverage of the Ministry of Entrepreneur Development and Cooperatives' support for SMEs seeking to break into international markets, we explored its focus on cross-border e-commerce, assistance with overseas regulatory compliance and product promotion to help local businesses become more competitive. The article also covered the growth in SME exports and the ministry's commitment to strengthening the ecosystem through a framework encompassing market access and reduced bureaucracy.

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