BNM's new SME Stabilisation Relief Facility to provide financial support for SMEs affected by ongoing West Asia conflict

Bank Negara Malaysia (BNM) has announced a RM5 billion financing facility, the SME Stabilisation Relief Facility (SME SRF), to assist small and medium enterprises (SMEs) affected by the ongoing conflict in West Asia. This initiative provides working capital support to help viable businesses sustain operations during uncertainty. Eligible SMEs can obtain financing of up to RM750,000 for a tenure of up to five years, with a maximum financing rate of 3.75% per annum (including a guarantee fee). The guarantee coverage is up to 80% from Credit Guarantee Corporation Malaysia (CGC), particularly for SMEs lacking sufficient collateral. Applications will be open from 15 May 2026 to 31 December 2026, or until full utilization, and can be submitted through participating financial institutions, including commercial banks, Islamic banks, and development financial institutions regulated by BNM. BNM encourages proactive engagement with financial institutions to address financial difficulties, offering solutions such as repayment flexibility, restructuring, or tailored support. Additionally, SMEs can access financial advisory, education, and debt repayment assistance through Agensi Kaunseling dan Pengurusan Kredit (AKPK) via programs like the Debt Management Programme (DMP) and Small Debt Resolution Scheme (SDRS).