A SME conference has been held in Penang recently. The one-day event, with the theme “Globalization of SMEs- The Next Battleground” was organised by The ACCA and officiated by Penang Chief Minister YAB Mr Lim Guan Eng with more than 350 delegates attended the conference.
SME developments in Penang
The developments of SME in Penang are mostly supporting MNCs. According to InvestPenang Chairman of the Executive Committee, Dato Lee Kah Choon, Penang economy has undergone five decades of evolution with the industrial transformation started 35 years ago. To date, the growing sectors in Penang are E & E and ICT sectors. As at March 2008, there are a total of 146 MSC status companies in Penang.
Dato Lee Kah Choon, Chairman of InvestPenang presenting his paper at the SME conference in Penang
Penang’s industrial evolution
New growth sectors for Penang
MSC companies in Penang
A recommended resource centre on SME developments in Malaysia is www.smeinfo.com.my by Central Bank of Malaysia which provides much related information in three languages. Another official website for SME in Malaysia is SMIDEC.
SME Outlook and Funding
The Malaysian Government, through SMIDEC, provides various facilities and assistance programmes to assist local SMEs to be globally competitive.
According to MITI’s website, the statistics on the utilisation of Funds (Grants and soft loans) for SMEs for the northern states (Perak, Penang, Kedah and Perlis) as the end of April 2007 are as follows:-
• As at the end of April 2007, a total of 17,015 applications were received by SMIDEC for the various grant schemes. Out of these, 12,417 applications (73.9 per cent) valued at RM270.61 million have been approved.
• The highest approval was for Grants for Certification & Quality Management valued at RM82.3 million (77.0 per cent) of the total grants approved.
• Total approvals of grants for the Northern Region states are 2,592 amounting RM59.7 million (21.4 per cent).
• As at April 2007, a total of 1,685 applications for soft loan were received, of which 1,046 (62.7 per cent) were approved valued at RM530.7 million.
• Total approvals of Soft Loan for the Northern Region states are 193 amounting RM 112.46 million (21.2 per cent).
For this year, the government has allocated RM4.5 billion for 198 small and medium enterprise (SME) development programmes and more funds will be allocated to SMIDEC under the mid term review of 9MP. The government has also announced that an additional RM1.2 billion worth of financial facilities will be make available to assist small and medium enterprises (SME) to manage rising business costs.
The Malaysia Government will continue to provide matching grants and soft loan schemes for SMEs , If your company are one of these SMEs and your businesses are within the threshold of SMIDEC, there are many types of grants and soft loans available for local SMEs; here and here.
For advisory on SME property needs or property investments in Penang, email to us at Izrin & Tan Properties Sdn. Bhd. or call us at +604 6588333 (Penang Office) or +603 92839782 (Kuala Lumpur Office) and we would be pleased to assist.