Ministry of Finance Increases BNM Disaster Relief Facility to RM500 Million for Flood Affected MSMEs | Malaysia

The Ministry of Finance (MoF) reiterated the increase in funding for the 2022 Disaster Relief Facility (DRF) by Bank Negara Malaysia to RM500 million. – Photo by Shafwan Zaidon

KUALA LUMPUR, December 26 – The Ministry of Finance (MoF) has reiterated the 2022 increase in funding for the Disaster Relief Facility (DRF) by Bank Negara Malaysia. from RM200 million to RM500 million.

Financing facilities will be provided through commercial banks to micro, small and medium-sized enterprises (MSMEs) to finance the replacement of equipment damaged by the floods, as well as for working capital.

“Financing up to RM500,000 will be given to SMEs, while micro-entrepreneurs will be able to borrow up to RM 75,000. The funding period can be up to five years, including a six-month repayment moratorium, ”Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said in a statement.

The financing rate is 3.5% per year, including warranty costs. Applications can be filed with commercial banks from December 27, 2021.

The government will continue to monitor the situation and the Ministry of Finance in particular will always stand ready to provide adequate allocations to help flood victims as soon as possible.

The DRF funding increase was announced by Prime Minister Datuk Seri Ismail Sabri Yaakob on December 22, 2021, as part of an aid initiative to ease the burden of flood victims.

Meanwhile, Bank Simpanan Nasional (BSN) announced that the total funding provided under its MyRinggit-i Banjir program has doubled to RM 10,000 from RM 5,000 previously, according to the latest government statement. .

The program, which flood victims across the country can apply for from December 27, offers interest-free funding for a 3.5-year funding period, including a moratorium for the first six months on monthly payments, he said in a statement.

Flood victims can apply by filling out the online application form on the official BSN website, www.bsn.com.my.

For applicants with access difficulties or not having access to the site, they can go to the nearby BSN branches to submit their application.

The documents required to apply are a copy of the applicant’s identity card, a copy of the electricity bill of the affected house, and a confirmation letter from the district officer / development and security committee village / police report on the affected house.

BSN said it would notify the status of the request via Short Message Service (SMS). Applicants may check the status of their application from time to time on the official BSN website.

For more information visit www.bsn.com.my or contact the BSN Customer Service Center at 1300-88-1900. – Bernama