Credit Guarantee Corporation Malaysia Berhad (“CGC”) and the AmBank (M) Berhad (“AmBank”)signed an SME Portfolio Guarantee (“SPG”) agreement in order to further enhance its strategic focus on developing and financing the Small and Medium Enterprise (“SME”) segment in Malaysia via AmBank’s SME Banking.
The signing ceremony is a progression of the ongoing strategic collaboration between AmBank and CGC. Through this partnership, both AmBank and CGC have committed to extending an additional of RM200 million financing for eligible SME businesses as part of Tranche 2.
This marks a continuation of the SME Portfolio Guarantee Scheme, which was launched in September 2016; whereby, a sum of RM150 million in Tranche 1 was allocated and fully subscribed within five months.
Under this scheme, eligible SMEs can apply for financing facilities of up to RM 1 million from AmBank SME with repayment tenure of up to seven years. Seventy percent of the principal financing amount will be guaranteed by CGC.
The partnership agreement was signed by Jade Lee, Managing Director of Retail Banking, AmBank (M) Berhad together Mr. Leong Weng Choong, Chief Business Officer of CGC. It was witnessed by Datuk Mohd Zamree Mohd Ishak, President/Chief Executive Officer of CGC and Dato’ Sulaiman Mohd Tahir, Group Chief Executive Officer of AmBank Group.