Banks are advised to continue helping SMEs in need - PM Anwar

Banks are advised to continue helping SMEs in need - PM Anwar

BERNAMA

Jun 30, 2023
Banks are encouraged to continue offering loan repayment assistance to individuals and Small and Medium Enterprises in need, including assistance in scheduling and restructuring their loans, said Anwar.

Banks are advised to continue helping SMEs in need - PM Anwar

Banks are encouraged to continue offering loan repayment assistance to individuals and Small and Medium Enterprises in need, including assistance in scheduling and restructuring their loans, said Anwar. - Photo file/AWANI Astro

KUALA LUMPUR: Banks are advised to continue offering loan repayment assistance to individuals and Small and Medium Enterprises (SMEs) in need, including assistance in scheduling and restructuring their loans.

The Prime Minister, Datuk Seri Anwar Ibrahim said, at the same time, borrowers with problems can get free advice and loan repayment assistance through the Credit Counseling and Management Agency (AKPK).

"I am satisfied with the commitment shown by banking institutions that are ready to help the people and SMEs," said Anwar who is also the Minister of Finance in a press release here today.

In addition, he also reminded the banking industry that they play an important role in driving post-pandemic economic growth, especially in helping borrowers who are still affected and are facing difficulties in continuing their lives.

The Prime Minister and Finance Minister on Wednesday (June 28), held a dialogue session with representatives of the banking sector as part of the government's ongoing efforts to obtain ideas and views related to the national economy from all walks of life.

This dialogue session was attended by the Deputy Governor of Bank Negara Malaysia (BNM), Datuk Jessica Chew, as well as bank leaders such as AMMB Holdings Bhd (AmBank), Al-Rahji Bank, Bank Islam Malaysia, CIMB Group Holdings Bhd (CIMB), HSBC Bank, Maybank , Public Bank, RHB Bank and Standard Chartered Bank.

According to Anwar, the banking industry needs to continue to support the development of micro-entrepreneurs, especially vulnerable groups through initiatives such as i-TEKAD which offers start-up capital and micro-financing by using a combination of funds from financial institutions and social finance funds such as zakat.

The representatives of the banking industry present also agreed that the focus is now on efforts to drive the transition towards a net zero carbon country as well as a wider digitization agenda.

The discussion also touched on new growth areas that can strengthen Malaysia's value proposition among regional and global investors.

"While the government is formulating the MADANI Economic Narrative, including identifying priority sectors for the country's future growth and investment, we must also ensure that the financial industry and the capital market innovate in line with the changing global landscape."

Malaysia's sovereign credit rating at "A-"

This discussion, among others, also touched on policies to ensure that the financial industry in Malaysia remains relevant and inclusive in supporting sustainable economic growth.

"However, I understand that this economic strengthening may not be fully felt by the people who are still struggling with the cost of living and also the SMEs that are recovering from the pandemic.

"Therefore, the government is determined to further enhance efforts in boosting the momentum of economic growth and implementing fiscal consolidation to ensure the well-being of the people and the continuity of business in line with the concept of CIVIL Malaysia," he added.

Meanwhile, this dialogue session is the third such session held with the Prime Minister.

Previously, Anwar had held meetings with business leaders and economic experts.

All shared views will be used to form the MADANI Economic Narrative which is being drafted to chart the direction of the country's economy in the medium and long term, and will be launched in August this year.

Economic policies and priorities under the Unity Government will also be further elaborated in the Industrial Master Plan (August 2023), the Half-Term Review of the 12th Malaysia Plan (September 2023) and Budget 2024 (October 2023).