This latest measure complements the recent announcement by the Prime Minister on the RM5 billion guarantee facility aimed at supporting MSMEs amid rising cost pressures. CGC’s supplementary allocation is designed to further strengthen financial resilience among affected MSMEs and represents an initial step in responding to current economic conditions. CGC said it will continue to monitor developments and assess the evolving needs of MSMEs, with the flexibility to introduce additional support measures as necessary.
Under the PG Relief Guarantee, financing will be offered to the respective participating financial institutions’ existing MSMEs for working capital purposes through term loans or term financing facilities. Financing amounts range from RM20,000 to RM500,000, with guarantee coverage of up to 90% and financing tenures of up to seven years, including additional flexibility for restructuring and rescheduling where applicable.
The PG Relief Guarantee is targeted to be launched in May 2026, and the scheme will remain available until full utilisation. Affected MSMEs are encouraged to engage directly with their existing financial institutions to apply for financing under this Guarantee Relief scheme.
“As a development financial institution, CGC continues to play its counter-cyclical role in supporting MSMEs during challenging economic conditions. This allocation reflects our commitment to ensuring that MSMEs have continued access to financing when they need it most,” said Mohamed Nazri Omar, President & Chief Executive Officer.
