Ministry of Entrepreneur Development and Cooperatives has instructed its agencies, which include SME Bank, Bank Industry, PUNB, and SME Corp to extend moratorium on repayment for micro small medium entrepreneurs who have been impacted by the recent flooding.

The assistance comes after Prime Minister made his new year speech assuring more assistance should be given to those who will be having difficulty in regaining their lives after the devastation. The relevant agencies have since agreed to grant a moratorium on MSME entrepreneurs who have received funding under MEDAC’s programs and initiatives.

Since the announcement, Bank Rakyat has granted deferment to borrowers affected for 6 months. These deferrals involve those who borrowed through Personal Financing-i, Housing Financing-i, Financing Vehicles-i, Vehicle Hire Purchase-i, Education Financing-i, Micro Financing-i, and deferment of payment of profits for Mortgage-i.

Perbadanan Usahawan Nasional Berhad (PUNB) is also giving a 6-month moratorium depending on the extent of the effects of the floods. SME Bank is giving rental exemption for 2 months to tenants using the SME Bank business complex additionally it is also offering to reschedule payment to those who had received the Disaster Recovery Fund with a 6 -month moratorium.

SME Corp offers 3 financing packages for all SME affected regardless of the sector, are the SME Revitalization Financing (SMERF), Soft Loan Scheme For Small and Medium Enterprise (SLSME), and SME Emergency Fund (SMEEF) they can seek funding for the purchase of equipment, overhaul of business premises and capital for business start -up.

These packages will be given a moratorium on repayment up to 6 months. -- Business Today