KUALA LUMPUR, Feb 18 — Syarikat Jaminan Pembiayaan Perniagaan Bhd (SJPP) today launched RM2 billion special government guarantee scheme to help the small and medium enterprises (SMEs) leap towards Industry 4.0.

Finance Minister Lim Guan Eng said the RM2 billion was part of a total of RM6.5 billion guarantees allocated in the 2019 budget designed to increase access to financing for the local SMEs for Industry 4.0.

He added that without SMEs which are familiar with Industry 4.0 technology, Malaysia would not be able to move forward and would not become the prime investment destination for high technology manufacturing and high value-added services.

"The RM2 billion guarantee scheme provided by SJPP is designed having in mind that SMEs contributed 37 per cent of the Malaysian gross domestic product last year. That contribution is expected to rise to 41 per cent by 2020,” said Lim in his speech at the launch today.

Under the RM2 billion guarantee scheme, up to 70 per cent of borrowings made by SMEs would be guaranteed by SJPP.

Since its inception in 2009, SJPP has made available a total of RM35 billion guarantees of which RM18 billion has been used up and benefitted 14,000 SMEs nationwide. — Bernama