Malaysian Industrial Development Finance Berhad (MIDF) and the World Intellectual Property Organization (WIPO) have signed a landmark Memorandum of Understanding (MoU) to develop intellectual property (IP)-backed financing in Malaysia.
The signing, held at the Intellectual Property Corporation of Malaysia (MyIPO) headquarters, was witnessed by senior officials from MIDF, WIPO, MyIPO, and industry partners, underscoring the national importance of this initiative.
A First for Malaysia’s Financing Ecosystem
The MoU marks Malaysia’s participation in the WIPO ASEAN IP Finance Pilot Project, launched in 2022 to enable financial institutions to treat IP as an asset class. Through the partnership:
- WIPO will provide technical assistance and best practices in IP-backed lending.
- MIDF will pilot an IP-backed financing programme for Malaysian businesses.
- Adastra IP, WIPO’s technical partner in Malaysia, will provide strategic advisory and valuation support.
Why IP Matters in Financing
Globally, intangible investments reached USD 8 trillion in 2024, tripling tangible investments. For Malaysia’s innovative and asset-light SMEs, traditional collateral requirements often limit access to funding.
IP finance provides a pathway for such companies to leverage intangible assets — like patents, trademarks, and copyrights — to secure affordable capital for scaling and growth.
“This partnership will help bridge critical funding gaps and encourage wider adoption of IP financing in Malaysia’s ecosystem,” said Encik Azizi Mustafa, CEO of MIDF.
Strengthening Malaysia’s IP Ecosystem
The choice of MyIPO headquarters as the venue highlights the organisation’s role as custodian of IP rights in Malaysia. Under the leadership of Pn. Yusnieza Syarmila Yusoff, MyIPO continues to drive initiatives that integrate IP more effectively into Malaysia’s economic and financial frameworks.
