Press Release
(For Immediate Publication or Broadcast)
21 May 2009
Financial Institutionsí Contribution
to SME Development Recognised By CGC
Petaling Jaya, 21 May ñ Eight leading financial institutions were honoured today for their support and significant contribution towards SME development in 2008 by Credit Guarantee Corporation Malaysia Berhad (CGC) at its Top SMI Supporter Award Presentation ceremony. The event, held in conjunction with CGCís 36th Annual General Meeting, was officiated by Datoí Zamani Abdul Ghani, CGCís Chairman and Deputy Governor of Bank Negara Malaysia.
The recipients of the Top SMI Supporter Awards for 2008 were Maybank, Public Bank, CIMB and RHB Bank under the Commercial Banks category; EONCAP Islamic Bank under the Islamic Banks category; Agrobank under the Development Financial Institutions (DFI) category; and OCBC Bank under the Foreign-owned Banks category. The eight award recipients contributed a total of RM2.2 billion, representing 74% of the total loans guaranteed to SMEs by CGC in 2008.
Maybank was also accorded the coveted Best Financial Partner Award in recognition of their commendable efforts and contribution towards CGCís quality assets.
CGC Chairman, Datoí Zamani Abdul Ghani said in his speech that the active participation and continued support of the financial partners has enabled the Corporation to stamp its mark in SME development through the provision of easier access and more affordable financing for business growth and expansion.
ìThese awards not only recognise the contributions of the participating financial institutions to loans growth but also to quality asset. These two conditions, i.e. participation and asset quality, are critical for both parties, especially to the Corporation as it gears itself to be more commercially-driven and achieve financial sustainability,î said Datoí Zamani.
The award recipients were selected based on a set of criteria determined by the Corporation which includes number and value of loans guaranteed, loans growth and number and value of loans to Bumiputera borrowers amongst others.
Speaking to reporters at a press conference after the ceremony, CGCís Managing Director Datuk Wan Azhar Wan Ahmad said the contribution by the financial institutions to SME financing had been encouraging despite the challenges that emerged in 2008.
ìIn general, the financial institutions have maintained strong commitment and support to SME financing via their participation in our guarantee schemes,î added Datuk Wan Azhar.
He said that CGC will continue to strengthen its alliances with financial partners to further expand its SME outreach and support viable businesses to tide over the difficult times while assisting new ones to grow.
CGC remains actively involved in Bank Negara Malaysia (BNM)-initiated funds such as the SME Assistance Guarantee Scheme, a RM2 billion launched in January 2009 to assist SMEs facing difficulties during the current economic crisis. As at mid-May, it had guaranteed a total of 1,783 accounts valued at RM369.6 million.
In 2008, CGC participated in two other BNM-initiated funds namely the SME Assistance Facility and the SME Modernisation Facility. The RM1.2 billion facilities were established to help SMEs continue business operations with funds for working capital and project financing as well as to modernise operations through the purchase or upgrading of energy-saving machineries and equipment. As at end March 2009, about 4,928 SMEs had benefited from these Facilities, with a total loan value of RM1.08 billion. In 2008, CGC extended credit guarantees to 10,368 accounts valued at RM3.01 billion.
For media enquiries:
V. Kumaran
Head, Corporate Communications
Tel: 03-7806 2300 ext 232
E-mail: [email protected]
09-Jun-2009 12:46:51 PM