CIMB joins hands with CGC to aid SMEs

CIMB Bank Bhd is on track to surpass its RM50 billion commitment to the SME sector by 2024, as stated by its co-chief executive officer, Ahmad Shazli Kamarulzaman. The bank has been supporting local SMEs since 2019 and has entered into a partnership with Credit Guarantee Corp Malaysia Bhd (CGC) to offer an additional RM1.5 billion for SMEs through CGC s portfolio guarantee scheme. This partnership will increase CIMB Bank s working-capital financing to RM6.5 billion, which will be used to assist SMEs in adopting ESG standards, digitalization, and investing in strategic technology. Ahmad Shazli emphasized that the additional RM1.5 billion is just the beginning, and the bank plans to provide more tranches in the future. The bank aims to educate and enable SMEs to compete in the evolving business landscape, which heavily involves digitalization. CIMB group commercial and transaction banking co-chief executive Lawrence Loh also highlighted the bank s investment in a new platform to improve customer journey, which will be launched soon. CGC chief executive Datuk Mohd Zamree Mohd Ishak expressed his belief that allocations for SMEs would continue in the upcoming Budget 2025, but with a more targeted approach. He mentioned that the government has been supportive of SMEs in the past and this trend is expected to continue. In summary, CIMB Bank is committed to supporting the SME sector by providing additional financing, educating SMEs on digitalization, and investing in new platforms to improve customer experience. The bank and CGC aim to strengthen their relationship and provide more targeted support to SMEs in the future.

Source: thestar.com.my
Published on 2024-10-01