INDUSTRY DIGITALISATION TRANSFORMATION SCHEME (IDTS)

ITEM DESCRIPTION
Objective
  • To accelerate industry adoption of Industry 4.0 related technologies thereby increasing the contribution of the manufacturing sector to the national economy
  • Fund the transformation of Malaysia’s industrial capabilities by supporting the right ecosystem for Industry 4.0 to make Malaysia a preferred high technology manufacturing location
  • Support the adoption of digital transformation across the Bank’s mandated sectors to develop digital-economy for the nation
Purpose
  • To part finance the acquisition and/or development of specific assets, including software, licences, patents etc.
  • To part finance the project / contracts relevant to the digital technologies.
  • To provide working capital
Scheme Size
RM1.0 billion
(An aggregate of RM500 million is allocated for Bumiputera companies across all schemes)
Availability
  • 1 January 2021 until 31 December 2023
  • Application received before 31 December 2023 is granted an extension until 31 March 2024 to complete approval process
Target Sector
  • Technologies are inclusive of, but not limited to, Artificial Intelligence, Robotics, Automation meant for:-
    • Producer : Technology firms or manufacturing companies offering the technologies
    • User : Companies/entities adopting the technologies as part of their operations
    • Provider of Infrastructure : Companies that construct/build related infrastructure for the adoption of technology
Eligible Applicant
  • Partnership, Private Limited, Public Company and Co-operatives.
  • Registered and incorporated in Malaysia.
  • Minimum ownership of 40% by Malaysian
Eligible Project
  • Projects that are within the parameters set by relevant agencies involved in development of digital technologies
Facility Offered
  • Term financing
  • The scheme can be structured for syndication/club deal arrangements
Financing Purpose
  • For capital expenditure (CAPEX) and operating expenditure (OPEX) purposes
Financing Tenure
  • CAPEX : up to 15 years
  • OPEX : up to 5 years.
Margin of Financing
  • Up to 80%
Financing Amount
  • Financing amount is subject to BPMB’s evaluation and credit policies. Any application exceeding the maximum amount must obtain Board approval
  • As guidance,the fund available per customer may be determined based on the following categories:
    • Asset/hardware/software acquisition and/or development : up to RM100 million
    • Development of infrastructure : up to RM100 million
  • The above may vary subject to the Bank’s credit assessment.
Pricing
  • Goverment : COF + Margin -Subsidy of 1.5%
  • Commercial : BFR + Margin -Subsidy of 1.5%
  • Margin is up to 2% per annum. Effective rate is subject to the approving authority of BPMB
Profit Subsidy
  • 1.5% per annum
Credit Related Matters
  • Subject to BPMB's credit approval processes.