The enhanced RM6 million grant in the iTekad social finance program is poised to provide a vital boost to MSMEs, aiding them in obtaining necessary working capital and supporting marketing efforts through social media platforms. This initiative aligns with the overarching goal of iTekad, which aims to uplift micro-entrepreneurs by enhancing their financial skills and business acumen for long-term income generation.
24 August 2023 – The recent augmentation of RM6 million in the iTekad social finance program grant is set to provide essential support to micro, small, and medium enterprises (MSMEs) for their working capital and marketing undertakings.
Abdul Azharee Abdul Wahid, CEO of Malaysia Micro Enterprises Academy (AUM), emphasized that many MSME entrepreneurs are grappling with inadequate working capital due to rising costs and challenges in marketing through social media platforms. He stated that this increased grant will enable MSMEs, especially those in the manufacturing sector, to procure raw materials and sustain their operations until the year’s end.
The additional working capital also offers the opportunity for entrepreneurs to invest in marketing activities on social media platforms such as Shopee and TikTok. While these platforms are free to use, obtaining valuable data requires payments. Thus, the enhanced grant provides substantial support in this regard, Abdul Azharee mentioned during an interview on Bernama TV’s “Malaysia Petang Ini.”
The iTekad program, developed by Bank Negara Malaysia, has garnered participation from 11 banks thus far. Abdul Azharee further urged these banks to streamline the grant approval process for MSMEs, particularly focusing on the B40 group.
The augmented RM6 million grant complements the RM4 million already allocated in Budget 2023, as revealed by Prime Minister Datuk Seri Anwar Ibrahim on August 22. Anwar’s announcement takes the total iTekad aid for this year to RM10 million.
iTekad serves as a patron program aimed at assisting low-income micro-entrepreneurs in enhancing their financial management and business intelligence, ultimately fostering sustained income generation. The program combines the provision of business assets financed by diverse social finance instruments with microfinance, complemented by structured financial and business training. – reference: The Edge