KUALA LUMPUR, Sept 2 — Standard Chartered Bank Malaysia Bhd and Credit Guarantee Corporation Malaysia Bhd (CGC) have signed an agreement to provide RM100 million in financing to help small and medium-sized enterprises (SMEs) struggling with liquidity challenges post-Covid-19.
The agreement makes Standard Chartered the highest contributor of financial assistance among foreign banks in Malaysia, the parties said in a joint statement today.
CGC president and chief executive officer (CEO) Datuk Mohd Zamree Mohd Ishak said the move aims to provide SMEs with working capital by easing their financial burden; helping them to sustain their business during the current challenging health and economic crises.
Standard Chartered managing director and CEO Abrar A. Anwar said to-date, Standard Chartered and CGC have launched a grand total of 15 tranches worth RM1.61 billion.
“Many SMEs in Malaysia have benefited from loans from Standard Chartered, guaranteed by CGC, and we expect to receive more applications (for loans),” he said.
Meanwhile, Abrar said the bank has structured an assistance package for SMEs, where it waives structuring and digital platform fees, provide higher interest rates for current accounts, as well as give preferential rates and complimentary insurance coverage for Covid-19-related incidences.
“For trade SME clients, we are also waiving a bundle of trade facilities fees for letters of credit and export handling charges, on top of giving preferential foreign exchange rates to help them manage liquidity challenges,” he added.
The bank had also developed a loan repayment assistance programme, offering a three-month extension of the loan moratorium starting Oct 1, 2020 for clients who have lost their jobs this year.
It also urged clients who had to undertake salary cuts to contact the bank to explore possible repayment options. — Bernama
