Summary
- Lim Guan Eng said many Malaysian SMEs are struggling with weak orders, rising costs and intense competition.
- He urged the government to suspend interest payments on existing SME loans for one year.
- Lim also proposed RM50,000 interest-free loans for each eligible SME to ease cash-flow pressure.
- He said plans to raise SMEs’ contribution to 50% of GDP would be difficult without stronger immediate support.
AIR ITAM, August 31 — DAP chairman and ADUN for Air Putih, Lim Guan Eng called for urgent financial support for small and medium enterprises, warning that many businesses were facing severe cash-flow and survival pressures.
At a press conference, Lim proposed a one-year suspension of interest payments on existing SME loans and RM50,000 interest-free financing for eligible businesses.
He said SMEs were struggling with fewer orders, rising operating costs and strong price competition, including from overseas players.
Lim argued that the government’s ambition to raise SME contribution to 50% of GDP would be difficult to achieve without practical intervention.
He urged the Finance Ministry, industry groups and officials to provide the prime minister with a clearer picture of conditions faced by SMEs.
