KUALA LUMPUR: The government has allocated a record RM57 billion in financing facilities for micro, small and medium enterprises (MSMEs) under the 2027 Budget to help the sector navigate global economic uncertainties.
Entrepreneur Development and Cooperatives Minister Steven Sim said the allocation, up from RM50 billion previously, reflected the government's commitment to strengthening the sector through better access to financing, lower business costs and improved government service delivery.
He said the government understood the pressures MSMEs faced amid global economic fluctuations, including rising energy costs and supply chain disruptions beyond the country's control.
"We know that in a time of multiple crises, SMEs must be given breathing space so they can face the various challenges.
"We cannot control energy prices. We cannot control some of the supply chain. At least we can control the ground force here in Malaysia," he said at the Enterprise 50 (E50) Awards ceremony here tonight.
Also present was SME Corp Malaysia chief executive officer Rizal Nainy.
Sim also addressed the latest minimum wage increase, saying MSMEs had been granted an exemption to help ease their operating cost pressures.
However, he stressed that easing the burden on employers did not mean the government was abandoning its goal of creating high-income jobs for Malaysians.
"We all want to see Malaysians secure high-paying jobs, but as the world faces various crises, MSMEs also need to be given space to overcome these challenges," he said.
Sim said MSME performance was a key determinant of the nation's economic growth and expressed optimism that 2027 would be a better year for the sector, supported by government initiatives and the resilience of local entrepreneurs.
Meanwhile, Rizal said the E50 Business Matching programme organised by SME Corp Malaysia had generated RM420 million in potential sales.
He said the two-day programme, held in conjunction with the awards, aimed to expand MSMEs' access to export markets and create new business collaboration opportunities.
"This year's E50 programme took a more meaningful approach. It was expanded with the E50 Export Conference and the E50 Business Matching programme," he said.
Rizal added that the awards received 160 nominations this year, the highest number since their inception in 1997.
He said the increased participation reflected growing recognition of E50 as a platform showcasing the achievements of high-performing Malaysian MSMEs.
At the event, 50 MSMEs received the E50 Award in recognition of their achievements, performance and ability to expand their businesses.
The award recognises excellence in business growth, competitiveness, innovation and governance.
© New Straits Times Press (M) Bhd